The Bank of Hawaii reports that 7% of its credit card holders will default at some time in their life. The Hilo branch just mailed out 12 new cards today. a. How many of these new cardholders would you expect to default? What is the standard deviation? b. What is the likelihood that none of the cardholders will default? c. What is the likelihood at least one will default?

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A: The answer is in step 2.

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A: Givenconfidence interval = 90%x=2.9s=0.2n=100

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A: *used power rule

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A: Apologies for the inconvenience.   We graph the given equations using graphing calculator.

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A: We have given that Mean(µ) = 72.6Standard deviations (σ) = 4.78X ~ N (µ, σ )= N(72.6, 4.78)

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