The owner of a small deli is trying to decide whether to discontinue selling magazines. He suspects that only 10.3% of his customers buy a magazine and he thinks that he might be able to use the display space to sell something more profitable. Before making a final decision, he decides that for one day he will keep track of the number of customers that buy a magazine. Assuming his suspicion that 10.3% of his customers buy a magazine is correct, what is the probability that exactly 2 out of the first 12 customers buy a magazine?
Inverse Normal Distribution
The method used for finding the corresponding z-critical value in a normal distribution using the known probability is said to be an inverse normal distribution. The inverse normal distribution is a continuous probability distribution with a family of two parameters.
Mean, Median, Mode
It is a descriptive summary of a data set. It can be defined by using some of the measures. The central tendencies do not provide information regarding individual data from the dataset. However, they give a summary of the data set. The central tendency or measure of central tendency is a central or typical value for a probability distribution.
Z-Scores
A z-score is a unit of measurement used in statistics to describe the position of a raw score in terms of its distance from the mean, measured with reference to standard deviation from the mean. Z-scores are useful in statistics because they allow comparison between two scores that belong to different normal distributions.
The owner of a small deli is trying to decide whether to discontinue selling magazines. He suspects that only 10.3% of his customers buy a magazine and he thinks that he might be able to use the display space to sell something more profitable. Before making a final decision, he decides that for one day he will keep track of the number of customers that buy a magazine. Assuming his suspicion that 10.3% of his customers buy a magazine is correct, what is the probability that exactly 2 out of the first 12 customers buy a magazine?
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
