The owner of a small deli is trying to decide whether to discontinue selling magazines. He suspects that only 7.4% 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. (a) Explain why this is a binomial experiment. (b) Assuming his suspicion that 7.4% of his customers buy a magazine is correct, what is the probability that exactly 2 out of the first 10 customers buy a magazine? Give your answer as a decimal number rounded to two digits. (c) What is the expected number of customers from this sample that will buy a magazine?
Contingency Table
A contingency table can be defined as the visual representation of the relationship between two or more categorical variables that can be evaluated and registered. It is a categorical version of the scatterplot, which is used to investigate the linear relationship between two variables. A contingency table is indeed a type of frequency distribution table that displays two variables at the same time.
Binomial Distribution
Binomial is an algebraic expression of the sum or the difference of two terms. Before knowing about binomial distribution, we must know about the binomial theorem.
The owner of a small deli is trying to decide whether to discontinue selling magazines. He suspects that only 7.4% 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.
(a) Explain why this is a binomial experiment.
(b) Assuming his suspicion that 7.4% of his customers buy a magazine is correct, what is the
(c) What is the expected number of customers from this sample that will buy a magazine?
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