Years to live 2008 Insurance companies and other orga-nizations use actuarial tables to estimate the remaining life spans of their customers. The table below shows thepredicted additional years of life for Hispanic females ofvarious ages in the United States, according to a 2008National Vital Statistics Report. (www.cdc.gov/nchs/deaths.htm)Here are the results of a re-expression.Dependent variable is: sqrt(YrsToLive)R-squared = 99.4, s = 0.19068Variable CoefficientIntercept 9.6867Age -0.0797a) Evaluate the success of the regression.b) Predict the lifespan of an 18-year-old Hispanicwoman.c) Are you satisfied that your model could predict the lifeexpectancy of a friend of yours? Age Years to Live10 73.920 6430 54.240 44.550 35.160 26.170 17.880 10.690 5.3100 2.6
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.
nizations use actuarial tables to estimate the remaining
predicted additional years of life for Hispanic females of
various ages in the United States, according to a 2008
National Vital Statistics Report. (www.cdc.gov/nchs/
deaths.htm)Here are the results of a re-expression.
Dependent variable is: sqrt(YrsToLive)
R-squared = 99.4, s = 0.19068
Variable Coefficient
Intercept 9.6867
Age -0.0797a) Evaluate the success of the regression.
b) Predict the lifespan of an 18-year-old Hispanic
woman.
c) Are you satisfied that your model could predict the life
expectancy of a friend of yours?
10 73.9
20 64
30 54.2
40 44.5
50 35.1
60 26.1
70 17.8
80 10.6
90 5.3
100 2.6
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