Your local Target store is interested to know how much money, on average, their customers spend each visit in the housewares department.
Your local Target store is interested to know how much money, on average, their customers spend each visit in the housewares department. They go back through their records and draw a sample of 450 people and calculate each customer's average spending on housewares.
a) Identify the population, sample, parameter, statistic and variable for this example.
b) Describe a situation in which you would calculate a parameter rather than a statistic .
For the 1,000 samples, the following is a breakdown of how much each spent:
c) Determine the PDF and CDF of the amount spent on housewares.
d) If I sample a random person in the store, what is the probability that they will spend less than $30 on housewares?
e) Customers get a $5 coupon when they spend at least $20 in housewares. Of the next 200 people that visit the store, how many coupons can they expect to give away?
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Your local Target store is interested to know how much money, on average, their customers spend each visit in the housewares department.
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