tax returns filed manually have a 20% chance of containing errors, while tax returns filed electronically…

tax returns filed manually have a 20% chance of containing errors, while tax returns filed electronically have a 0.05% chance of containing the same. if 2.7 million tax returns are filed each way, how many more erroneous manually - filed returns will there be than erroneous electronically - filed returns?\na. 270,675\nb. 538,650\nc. 541,350\nd. 269,325\nplease select the best answer from the choices provided

tax returns filed manually have a 20% chance of containing errors, while tax returns filed electronically have a 0.05% chance of containing the same. if 2.7 million tax returns are filed each way, how many more erroneous manually - filed returns will there be than erroneous electronically - filed returns?\na. 270,675\nb. 538,650\nc. 541,350\nd. 269,325\nplease select the best answer from the choices provided

Answer

Explanation:

Step1: Calculate number of manual errors

Number of manually - filed returns is 2.7 million = 2700000. Error rate is 20% or 0.2. So number of errors in manual returns is $2700000\times0.2 = 540000$.

Step2: Calculate number of electronic errors

Number of electronically - filed returns is 2.7 million = 2700000. Error rate is 0.05% or 0.0005. So number of errors in electronic returns is $2700000\times0.0005=1350$.

Step3: Calculate the difference

Difference = Number of manual errors - Number of electronic errors. So $540000 - 1350=538650$.

Answer:

B. 538,650