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Question: The average amount spent on electronics each year in U.S. households is $1,250, according to an article in USA Today (Michelle Kessler, "Gadget Makers Make Mad Dash to Market," January 4, 2006). Assume that the amount spent on electronics each year has an exponential distribution.
a. Calculate the probability that a randomly chosen U.S. household would spend more than $5,000 on electronics.
b. Compute the probability that a randomly chosen U.S. household would spend more than the average amount spent by U.S. households.
c. Determine the probability that a randomly chosen U.S. household would spend more than 1 standard deviation below the average amount spent by U.S. households.
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