Suppose that, according to a recent census, the income per capita measured in U.S. dollars was $41,716 in country A and $44,871 in country B. Assume that income per capita is Normally distributed with a standard deviation equal to 34% of the mean for each country. A random sample of five people in country A and five people in country B is selected. a) What is the probability that the mean income of the sample from country A is above $44,871? b) What is the probability that the mean income of the sample from country B is above $41,716? c) What would be the effect of not assuming that the income per capita is Normally distributed?

Suppose that, according to a recent census, the income per capita measured in U.S. dollars was $41,716 in country A and $44,871 in country B. Assume that income per capita is Normally distributed with a standard deviation equal to 34% of the mean for each country. A random sample of five people in country A and five people in country B is selected. a) What is the probability that the mean income of the sample from country A is above $44,871? b) What is the probability that the mean income of the sample from country B is above $41,716? c) What would be the effect of not assuming that the income per capita is Normally distributed?

A First Course in Probability (10th Edition)

10th Edition

ISBN:9780134753119

Author:Sheldon Ross

Publisher:Sheldon Ross

Chapter1: Combinatorial Analysis

Section: Chapter Questions

Problem 1.1P: a. How many different 7-place license plates are possible if the first 2 places are for letters and...

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Estimation

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Question

Suppose that, according to a recent census, the income per capita measured in U.S. dollars was
$41,716 in country A and $44,871 in country B. Assume that income per capita is Normally
distributed with a standard deviation equal to 34% of the mean for each country. A random sample
of five people in country A and five people in country B is selected.
a) What is the probability that the mean income of the sample from country A is above $44,871?
b) What is the probability that the mean income of the sample from country B is above $41,716?
c) What would be the effect of not assuming that the income per capita is Normally distributed?

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