Compute the expected income of a super shopper


What is the income distribution of super shoppers? A supermarket super shopper is defined as a shopper for whom at least 70% of the items purchased were on sale or purchased with a coupon. In the following table, income units are in thousands of dollars, and each interval goes up to but does not include the given high value. The midpoints are given to the nearest thousand dollars.

1.) Using the income midpoints x and the percent of super shoppers, do we have a valid probability distribution? Explain.

a.) Yes. The events are indistinct and the probabilities sum to less than 1.
b.) Yes. The events are distinct and the probabilities sum to 1.
c.) No. The events are indistinct and the probabilities sum to 1.
d.) Yes. The events are distinct and the probabilities do not sum to 1.
e.) No. The events are indistinct and the probabilities sum to more than 1.

2.) Compute the expected income μ of a super shopper. (Round your answer to two decimal places.)

3.) Compute the standard deviation σ for the income of super shoppers. (Round your answer to two decimal places.)

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Basic Statistics: Compute the expected income of a super shopper
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