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Card 13 / 18:
The chance of an IRS audit for a tax return with over $25,000 in income is about 2% per year. Suppose that 100 people with tax returns over $25,000 are randomly picked. We are interested in the number of people audited in one year. Use a Poisson distribution to anwer the following questions.
In words, define the random variable X .List the values that X may take on.Give the distribution of X . X ~ _____(_____,_____)How many are expected to be audited?Find the probability that no one was audited.Find the probability that at least three were audited.
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