Question: The amount that households pay service providers for access to the Internet varies quite a bit, but the mean monthly fee is $38 and the standard deviation is $10. The distribution is not Normal: many households pay a base rate for low-speed access, but some pay much more for faster connections. A sample survey asks an SRS of 500 households with Internet access how much they pay. Let x - be the mean amount paid.
(a) Explain why you can't determine the probability that the amount a randomly selected household pays for access to the Internet exceeds $39.
(b) What are the mean and standard deviation of the sampling distribution of x -?
(c) What is the shape of the sampling distribution of x -? Justify your answer.
(d) Find the probability that the average fee paid by the sample of households exceeds $39. Show your work.