2. A local church is studying the amount of offerings in an envelope from their

Question

2. A local church is studying the amount of offerings in an envelope from their early Sunday mornings services. The church studied 500 envelopes and found the following:
Less than $5 200
$5 to $9.99 100
$10 to $19.99 75
$20 to $49.99 75
$50 or more 50
a. what is the probability of opening one envelop and finding $20 or more in it? ______
b. What is the probability of opening one envelop and finding less than $10 in it? ______
c. What is the probability of opening two envelopes and finding less than $5 in each one of them? ________

Explanation / Answer

a. what is the probability of opening one envelop and finding $20 or more in it? ______
(75 + 50) / 500 = 1/4 or 0.25

         p = (200 / 500) x (199/499)
         p = 0.4 x 0.39 = 0.159519

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