The probability that the lifeline usage amount is exceeded


A utility company offers a lifeline rate to any household whose electricity usage falls below 240 kWh during a particular month. Let denote the event that a randomly selected household in a certain community does not exceed the lifeline usage dur- ing January, and let be the analogous event for the month of July (and refer to the same household). Suppose P(A) = .8, P(B) = .7, and P(B) = .9.

Compute the following:

a. P(B).

b. The probability that the lifeline usage amount is exceeded in exactly one of the two months. Describe this event in terms of and B.

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Dissertation: The probability that the lifeline usage amount is exceeded
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