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Economics and Finance Bank overdraft fees range from $10 to $38, consumers believe they are annoying and excessive, and these fees are a huge revenue source for banks.42 The Overdraft Protection Act of 2013 is designed to limit overdraft fees in a variety of ways and to require fees to be reasonable and proportional to the amount of the overdraft. Let X be the amount of an overdraft fee for a randomly selected bank. The probability distribution for X is given in the table below.
a. Find the mean, variance, and standard deviation of the overdraft amount.b. Find the probability that a randomly selected bank has an overdraft fee greater than $25.c. Find the probability that a randomly selected bank has an overdraft fee less than m 2 s.d. Suppose three banks are selected at random. What is the probability that at least one bank has an overdraft fee less than $20?
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