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Problem

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1 Nov 2021

Given information

As per the given question,

  • The chance of an IRS audit for a tax return with over $ in income is about % per year.
  • We are interested in the expected number of audits a person with that income has in a -year period.
  • Assume each year is independent.

 

To find:- Part (f). Find the probability that a person is audited more than twice.

Step-by-step explanation

Step 1.

As per the given question,

  • The said probability can be expressed as .
  • Hence, can be calculated in Ti- calculator, the resultant value being .

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Introductory Statistics
OER Edition, 2013
Openstax
ISBN: 9781938168208

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