Levinsons Department Store is having a special sale this weekend. Customers charging purchases of more than $50
Question:
Levinson’s Department Store is having a special sale this weekend. Customers charging purchases of more than $50 to their store credit card will be given a special Levinson’s Lottery card. The customer will scratch off the card, which will indicate the amount to be taken off the total amount of the purchase. Listed below are the amount of the prize and the percent of the time that amount will be deducted from the total amount of the purchase.
Prize Amount Probability
$ 10.......................................................0.50
25..........................................................0.40
50..........................................................0.08
100........................................................0.02
a. What is the mean amount deducted from the total purchase amount?
b. What is the standard deviation of the amount deducted from the total purchase?
Step by Step Answer:
Basic Statistics For Business And Economics
ISBN: 9781260187502
9th Edition
Authors: Douglas A. Lind, William G Marchal, Samuel A. Wathen