Got Homework?
Connect with other students for help. It's a free community.
Here's the question you clicked on:
 0 viewing
JimQ
Group Title
Problem: IRS will audit 2 million taxpayers. Plus 1 million taxpayers will be audited by mail. Assume 100 million total taxpayers. Find the probability that in a random sample of 50 taxpayers there will be one audit and one mailaudit.
My approach:
For the audit: Used Poisson distribution with mu = 1 and x = 1.
P(1) = 1^1 * e^(1) / 1! = 0.368.
For the mailaudit, I assumed the audit and mailaudit are independent, so I can use Poisson again with mu = 0.5 and x = 1. I get 0.303.
For both events, multiply, yielding 0.112.
What if I assume that the IRS will exclude auditees from maila
 3 months ago
 3 months ago
JimQ Group Title
Problem: IRS will audit 2 million taxpayers. Plus 1 million taxpayers will be audited by mail. Assume 100 million total taxpayers. Find the probability that in a random sample of 50 taxpayers there will be one audit and one mailaudit. My approach: For the audit: Used Poisson distribution with mu = 1 and x = 1. P(1) = 1^1 * e^(1) / 1! = 0.368. For the mailaudit, I assumed the audit and mailaudit are independent, so I can use Poisson again with mu = 0.5 and x = 1. I get 0.303. For both events, multiply, yielding 0.112. What if I assume that the IRS will exclude auditees from maila
 3 months ago
 3 months ago

This Question is Open

perl Group TitleBest ResponseYou've already chosen the best response.0
hmm , does the problem say to use Poisson
 3 months ago

JimQ Group TitleBest ResponseYou've already chosen the best response.0
Not explicitly, but based on the section where the problem was presented and the rules given in the text, it seems that Poisson was an acceptable approximation to the Binomial. n = 50. Although p = 0.01 is a little close to zero.
 3 months ago
See more questions >>>
Your question is ready. Sign up for free to start getting answers.
spraguer
(Moderator)
5
→ View Detailed Profile
is replying to Can someone tell me what button the professor is hitting...
23
 Teamwork 19 Teammate
 Problem Solving 19 Hero
 Engagement 19 Mad Hatter
 You have blocked this person.
 ✔ You're a fan Checking fan status...
Thanks for being so helpful in mathematics. If you are getting quality help, make sure you spread the word about OpenStudy.