Question

The Internal Revenue Service is studying the category of charitable contributions. A sample of 28 returns...

The Internal Revenue Service is studying the category of charitable contributions. A sample of 28 returns is selected from young couples between the ages of 20 and 35 who had an adjusted gross income of more than $100,000. Of these 28 returns, 5 had charitable contributions of more than $1,000. Suppose 4 of these returns are selected for a comprehensive audit.

a. Explain why the hypergeometric distribution is appropriate. Because

b. What is the probability exactly one of the four audited had a charitable deduction of more than $1,000?

c. What is the probability at least one of the audited returns had a charitable contribution of more than $1,000?

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
The Internal Revenue Service is studying the category of charitable contributions. A sample of 22 returns...
The Internal Revenue Service is studying the category of charitable contributions. A sample of 22 returns is selected from young couples between the ages of 20 and 35 who had an adjusted gross income of more than $100,000. Of these 22 returns, 7 had charitable contributions of more than $1,000. Suppose 6 of these returns are selected for a comprehensive audit. Explain why the hypergeometric distribution is appropriate. Because: you are sampling a small population without replacement. you are sampling...
Paula Oates, age 37, is an unmarried custodial parent. Her household includes three dependent children: Harry...
Paula Oates, age 37, is an unmarried custodial parent. Her household includes three dependent children: Harry (age 15), Holly (age 13), and Holland (age 3). Oates divorced her husband 2 years ago and receives monthly alimony payments of $5,000, with $3,500 of this amount designated as child support. Oates works for a CPA firm. For 2019, Oates, who has adjusted gross income of $40,000 (as reported on Form 1040, line 8b), qualifies to itemize deductions and is subject to federal...
Lance H. and Wanda B. Dean are married and live at 431 Yucca Drive, Santa Fe,...
Lance H. and Wanda B. Dean are married and live at 431 Yucca Drive, Santa Fe, NM 87501. Lance works for the convention bureau of the local Chamber of Commerce, while Wanda is employed part-time as a paralegal for a law firm. During 2016, the Deans had the following receipts: Salaries ($60,000 for Lance, $41,000 for Wanda) $101,000 Interest income—    City of Albuquerque general purpose bonds $1,000    Ford Motor company bonds 1,100    Ally Bank certificate of deposit 400 2,500 Child...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT