Statement of a problem № m258


Berdine’s Chicken Factory has several stores in the Hilton Head, South Carolina, area. When interviewing applicants for server positions, the owner would like to include information on the amount of tip a server can expect to earn per check (or bill). A study of 500 recent checks indicated the server earned the following amounts in tips per 8-hour shift. Amount of Tip Number $0 up to $ 20........ 200 20 up to 50........ 100 50 up to 100........ 75 100 up to 200........ 75 200 or more ........ 50 Total.......... 500 a. What is the probability of a tip of $200 or more? b. Are the categories “$0 up to $20,” “$20 up to $50,” and so on considered mutually exclusive? c. If the probabilities associated with each outcome were totaled, what would that total be? d. What is the probability of a tip of up to $50? e. What is the probability of a tip of less than $200?

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