Bundle: Modern Business Statistics with Microsoft Office Excel, Loose-Leaf Version, 6th + MindTap Business Statistics, 2 terms (12 months) Printed Access Card
Bundle: Modern Business Statistics with Microsoft Office Excel, Loose-Leaf Version, 6th + MindTap Business Statistics, 2 terms (12 months) Printed Access Card
6th Edition
ISBN: 9781337589383
Author: David R. Anderson, Dennis J. Sweeney, Thomas A. Williams, Jeffrey D. Camm, James J. Cochran
Publisher: Cengage Learning
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Chapter 16.2, Problem 14E

A 10-year study conducted by the American Heart Association provided data on how age, systolic blood pressure, and smoking relate to the risk of strokes. Data from a portion of this study follow. Risk is interpreted as the probability (times 100) that a person will have a stroke over the next 10-year period. For the smoker variable, 1 indicates a smoker and 0 indicates a nonsmoker.

Chapter 16.2, Problem 14E, A 10-year study conducted by the American Heart Association provided data on how age, systolic blood

  1. a. Develop an estimated regression equation that can be used to predict the risk of stroke given the age and blood-pressure level.
  2. b. Consider adding two independent variables to the model developed in part (a), one for the interaction between age and blood-pressure level and the other for whether the person is a smoker. Develop an estimated regression equation using these four independent variables.
  3. c. At a .05 level of significance, test to see whether the addition of the interaction term and the smoker variable contribute significantly to the estimated regression equation developed in part (a).
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30. An individual who has automobile insurance from a certain company is randomly selected. Let Y be the num- ber of moving violations for which the individual was cited during the last 3 years. The pmf of Y isy      | 1       2      4       8      16p(y) | .05   .10   .35   .40   .10 a.Compute E(Y).b. Suppose an individual with Y violations incurs a surcharge of $100Y^2. Calculate the expected amount of the surcharge.
24. An insurance company offers its policyholders a num- ber of different premium payment options. For a ran- domly selected policyholder, let X = the number of months between successive payments. The cdf of X is as follows: F(x)=0.00  :  x < 10.30  :  1≤x<30.40  :  3≤ x < 40.45  :  4≤ x <60.60  :  6≤ x < 121.00  :  12≤ x a. What is the pmf of X?b. Using just the cdf, compute P(3≤ X ≤6) and P(4≤ X).
59. At a certain gas station, 40% of the customers use regular gas (A1), 35% use plus gas (A2), and 25% use premium (A3). Of those customers using regular gas, only 30% fill their tanks (event B). Of those customers using plus, 60% fill their tanks, whereas of those using premium, 50% fill their tanks.a. What is the probability that the next customer will request plus gas and fill the tank (A2 B)?b. What is the probability that the next customer fills the tank?c. If the next customer fills the tank, what is the probability that regular gas is requested? Plus? Premium?

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