Exercise 7-34 (Algo) (LO7-4)

The cost per item at a supermarket follows an exponential distribution. There are many inexpensive items and a few relatively expensive ones. The mean cost per item is $6.5. What is the percentage of items that cost:

a. Less than $3.5? (Round your answer to 4 decimal places.)

Probability

b. More than $7.5? (Round your answer to 4 decimal places.)

Probability

c. Between $4.5 and $6.5? (Round your answer to 4 decimal places.)

Probability

d. Find the 30th percentile. Seventy percent of the supermarket items cost more than what amount? (Round your answer to 2 decimal places.)