Question 4: Suppose an automobile company has the following rules. - Cars would be leased for a maximum of 5-years - The

[answerhappygod]

Question 4: Suppose an automobile company has the followingrules. - Cars would be leased for a maximum of 5-years - Thehighest usage allowed during the lease period is 80,000 miles. Ifthe lessee goes beyond this limit, a penalty of 25 cents per mileis added to the lease cost. - The distribution of miles driven on5-year leases follows the normal distribution. The mean is 65,000miles and the standard deviation is 7,000 miles. Answer thefollowing: a. What percent of the leases will yield a penaltybecause of excess mileage? [2 marks] b. If the automobile companywanted to change the terms of the lease so that 27% of the leaseswent over the limit, where should the new upper limit be set? [2marks] c. One definition of a low mileage car is one that is5-years old and has been driven less than 45,000 miles. Whatpercentage of the cars returned are considered low mileage? [2Marks] please solve it