4. (20pts) Suppose that the mean amount of money that credit card companies charge for a late fee is $80 with a standard deviation of $5. Use Chebyshev's Theorem to answer the following questions: (a) At least what percentage of credit card companies charge a late fee between $72 and $88? (b) At least 70% of credit card companies charge between what two amounts for late fees?
Added by Brooke A.
Step 1
Step 1: Understand Chebyshev's Theorem Chebyshev's Theorem states that for any dataset (regardless of distribution shape), the proportion of observations falling within k standard deviations of the mean is at least \(1 - \frac{1}{k^2}\), where k is a positive Show more…
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2. Suppose the average credit card debt for households currently is $9500 with a standard deviation of $2600. a. Using Chebyshev’s theorem, find at least what percentage of current credit card debts for all households are between $3000 and $16,000 b. Using Chebyshev’s theorem, find the interval that contains credit card debts of at least 89% of all households.
Supreeta N.
A major department store has determined that its customers charge an average of $500 per month, with a standard deviation of $80. Assume the amounts of charges are normally distributed. a) What is the minimum and maximum charge of the middle 80% on their credit card accounts? b) There are 95 customers who charge their credit card above $580 per month. How many customers are members of this credit card company?
Lien L.
Suppose that in one region of the country the mean amount of credit card debt per household in households having credit card debt is $$\$ 15,250,$$ with standard deviation $$\$ 7,125 .$$ Find the probability that the mean amount of credit card debt in a sample of 1,600 such households will be within $$\$ 300$$ of the population mean.
Sampling Distributions
The Sampling Distribution of the Sample Mean
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Elementary Statistics a Step by Step Approach
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