Credit card debt. The average credit card debt for college seniors in $3262. If the debt is normally distributed with a standard deviation of $1100, find these probabilities (6 points). Please show your steps. a. That the senior owes at least $1000 b. That the senior owes more than $4000 c. That the senior owes between $3000 and $4000

Explanation:

standard deviation by which debt is distributed  = $1100

average credit card debt for college seniors = $3262

A)  probability that senior owes at least $1000

P (x ≥ 1000 ) = P ( Z ≥  )

where = $3262

= $1100

Z = random variable representing credit card debt for college seniors

back to equation P ( Z ≥ )

therefore  P ( z ≥ -2.06 )

                 1 - p ( z ≤ -2.06 )

therefore probability of the senior owing $1000 = 1 - 0.0199 = 0.9801

B) probability that senior owes more than $4000

p ( x ≥ 4000) = P ( Z ≥ )

                     = P ( Z ≥ )

                     = 1 - p ( Z ≤ 0.67 ) therefore probability that senior owes more than $4000 = 1 - 0.7468 = 0.2514

C ) Probability that the senior owes between $300 and $4000

P ( 3000 ≤ x ≤ 4000) = P ( ≤ Z ≤ )

                                  = P ( ≤ z ≤ )

                                  = P ( - 0.24 ≤ z ≤ 0.67 )  

                                 = p ( z ≤ 0.67 ) - p ( z ≤ - 0.24 )        

                                 = 1 - p ( z ≥ 0.67 ) - 1 - p ( z ≥ -0.24 )

                                 = 0.7846 - 0.4052 = 0.3434                  

c is the answer, and do you have a ps4?

forbearance of student loan payments. under forbearance, your loan payments are postponed (or reduced) but interest continues to accrue during the period of forbearance. if you don't pay the interest during that period, the interest may be “capitalized,” which means it is added to your principal balance.