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Belk Department Store is having a special sale this weekend. Customers charging pur- chases of more than $50 to their Belk credit card will be given a special Belk Lottery card. The customer will scratch off the card, which will indicate the amount to be taken off the total amount of the purchase. Listed below are the amount of the prize and the per- cent of the time that amount will be deducted from the total amount of the purchase.
Prize Amount
Probability
$ 10
.50
25
.40
50
.08
100
.02
a. What is the mean amount deducted from the total purchase amount?
b. What is the standard deviation of the amount deducted from the total purchase?
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