Answered step by step
Verified Expert Solution
Question
1 Approved Answer
When collecting taxes, a tax company rounds 60,000 taxes to the nearest ten dollars. a) Stating any assumptions made, compute the probability that the total
When collecting taxes, a tax company rounds 60,000 taxes to the nearest ten dollars. a) Stating any assumptions made, compute the probability that the total taxes collected will be altered by more than $500 from the original value (before rounding). No other information is provided. Show all details of your working. [15 marks] b) Comment on should the tax company be worried that the amount altered with this rounding exceeds $2,000? Please explain your answer briefly. [5 marks]
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started