Suppose the family income is believed to be normally distributed with a mean of $35,000 and a standard deviation of $5,000. If the poverty level is $20,000:
i. Determine the percentage of the population living in poverty. (2 Marks)
ii. A new tax law is expected to benefit “lower income” families, those with income between $25,000 and $30,000. What percentage of the population will benefit from this law? (3 Marks)
iii. If 10% of the population are considered to be high income earners, what should be the minimum income a family should be earning to fall in this class. (4 Marks)

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