Statistical Techniques in Business and Economics
Statistical Techniques in Business and Economics
16th Edition
ISBN: 9780077639723
Author: Lind
Publisher: Mcgraw-Hill Course Content Delivery
bartleby

Concept explainers

bartleby

Videos

Question
Book Icon
Chapter 7, Problem 57CE

a.

To determine

Find the likelihood that 32 or more consider nutrition important.

a.

Expert Solution
Check Mark

Answer to Problem 57CE

The likelihood that 32 or more consider nutrition important is 0.9678.

Explanation of Solution

In order to qualify as a binomial problem, it must satisfy the following conditions.

  • There are only two mutually exclusive outcomes, nutrition is a top priority in their lives and nutrition is not a top priority in their lives.
  • The number of trials is fixed, that is 60 men.
  • The probability is constant for each trial, which is 0.64.
  • The trials are independent of each other.

Thus, the problem satisfies all the conditions of a binomial distribution.

The mean can be obtained as follows:

μ=nπ=60(0.64)=38.4

The expected number of men who feel nutrition is important is 38.4.

The standard deviation can be obtained as follows:

σ=nπ(1π)=60(0.64)(10.64)=60(0.64)(0.36)=13.824

   =3.72   

The standard deviation of men who feel nutrition is important is 3.72.

The conditions for normal approximation to the binomial distribution are checked below:

The number of men (n) is 60 and probability that nutrition is a top priority in their lives. (π) is 0.64.

Condition 1:

nπ=60(0.64)=38.4>5

The condition 1 is satisfied.

Condition 2:

n(1π)=60(10.64)=60(0.36)=21.6>5

The condition 2 is satisfied.

The conditions 1 and 2 for normal approximation to the binomial distribution are satisfied.

Let the random variable X be the number of number of men who consider nutrition important, which follows normal distribution with population mean μ as 38.4 men and population standard deviation σ as 3.72 men.

The likelihood that 32 or more consider nutrition important can be obtained as follows:

P(X32)=P(X320.5)      [Apply the continuity correction factor]=P(X>31.5)=1P(Xμσ<31.538.43.72)=1P(Xμσ<6.93.72)

               =1P(Z<1.85)

Step-by-step procedure to obtain probability of Z less than –1.85 using Excel:

  • Click on the Formulas tab in the top menu.
  • Select Insert function. Then from category box, select Statistical and below that NORM.S.DIST.
  • Click OK.
  • In the dialog box, Enter Z value as –1.85.
  • Enter Cumulative as TRUE.
  • Click OK, the answer appears in Spreadsheet.

The output obtained using Excel is represented as follows:

Statistical Techniques in Business and Economics, Chapter 7, Problem 57CE , additional homework tip  1

From the above output, the probability of Z less than –1.85 is 0.0322.

Now consider the following:

P(X32)=1P(Z<1.85)=10.0322=0.9678

Therefore, the likelihood that 32 or more consider nutrition important is 0.9678.

b.

To determine

Find the likelihood that 44 or more consider nutrition important.

b.

Expert Solution
Check Mark

Answer to Problem 57CE

The likelihood that 44 or more consider nutrition important is 0.0853.

Explanation of Solution

The likelihood that 44 or more consider nutrition important can be obtained as follows:

P(X44)=P(X440.5)      [Apply the continuity correction factor]=P(X>43.5)=1P(Xμσ<43.538.43.72)=1P(Xμσ<5.13.72)

               =1P(Z<1.37)

Step-by-step procedure to obtain probability of Z less than 1.37 using Excel:

  • Click on the Formulas tab in the top menu.
  • Select Insert function. Then from category box, select Statistical and below that NORM.S.DIST.
  • Click OK.
  • In the dialog box, Enter Z value as 1.37.
  • Enter Cumulative as TRUE.
  • Click OK, the answer appears in Spreadsheet.

The output obtained using Excel is represented as follows:

Statistical Techniques in Business and Economics, Chapter 7, Problem 57CE , additional homework tip  2

From the above output, the probability of Z less than 1.37 is 0.9147.

Now consider the following:

P(X44)=1P(Z<1.37)=10.9147=0.0853

Therefore, the likelihood that 44 or more consider nutrition important is 0.0853.

c.

To determine

Find the probability that more than 32 but fewer than 43 consider nutrition important.

c.

Expert Solution
Check Mark

Answer to Problem 57CE

The probability that more than 32 but fewer than 43 consider nutrition important is 0.8084.

Explanation of Solution

The probability that more than 32 but fewer than 43 consider nutrition important can be obtained as follows:

P(32<X<43)=P(32+0.5<X430.5)      [Apply the continuity correction factor]=P(32.5<X<42.5)=P(X<42.5)P(X<32.5) =P(Xμσ<42.538.43.72)P(Xμσ<3238.43.72)

                        =P(Z<1.10)P(Z<1.59)

Step-by-step procedure to obtain probability of Z less than 1.10 using Excel:

  • Click on the Formulas tab in the top menu.
  • Select Insert function. Then from category box, select Statistical and below that NORM.S.DIST.
  • Click OK.
  • In the dialog box, Enter Z value as 1.10.
  • Enter Cumulative as TRUE.
  • Click OK, the answer appears in Spreadsheet.

The output obtained using Excel is represented as follows:

Statistical Techniques in Business and Economics, Chapter 7, Problem 57CE , additional homework tip  3

From the above output, the probability of Z less than 1.10 is 0.8643.

Step-by-step procedure to obtain probability of Z less than –1.59 using Excel:

  • Click on the Formulas tab in the top menu.
  • Select Insert function. Then from category box, select Statistical and below that NORM.S.DIST.
  • Click OK.
  • In the dialog box, Enter Z value as –1.59.
  • Enter Cumulative as TRUE.
  • Click OK, the answer appears in Spreadsheet.

The output obtained using Excel is represented as follows:

Statistical Techniques in Business and Economics, Chapter 7, Problem 57CE , additional homework tip  4

From the above output, the probability of Z less than –1.59 is 0.0559.

Now consider,

P(32<X<43)=P(Z<1.10)P(Z<1.59)=0.86430.0559=0.8084

Therefore, the probability that more than 32 but fewer than 43 consider nutrition important is 0.8084.

d.

To determine

Find the probability that exactly 44 consider diet important.

d.

Expert Solution
Check Mark

Answer to Problem 57CE

The probability that exactly 44 consider diet important is 0.0348.

Explanation of Solution

The probability that exactly 44 consider diet important can be obtained as follows:

P(X=44)=P(440.5X44+0.5)      [Apply the continuity correction factor]=P(43.5<X<44.5)=P(X<44.5)P(X<43.5) =P(Xμσ<44.538.43.72)P(Xμσ<43.538.43.72)

               =P(Z<1.64)P(Z<1.37)

Step-by-step procedure to obtain probability of Z less than 1.64 using Excel:

  • Click on the Formulas tab in the top menu.
  • Select Insert function. Then from category box, select Statistical and below that NORM.S.DIST.
  • Click OK.
  • In the dialog box, Enter Z value as 1.64.
  • Enter Cumulative as TRUE.
  • Click OK, the answer appears in Spreadsheet.

The output obtained using Excel is represented as follows:

Statistical Techniques in Business and Economics, Chapter 7, Problem 57CE , additional homework tip  5

From the above output, the probability of Z less than 1.64 is 0.9495.

Step-by-step procedure to obtain probability of Z less than 1.37 using Excel:

  • Click on the Formulas tab in the top menu.
  • Select Insert function. Then from category box, select Statistical and below that NORM.S.DIST.
  • Click OK.
  • In the dialog box, Enter Z value as 1.37
  • Enter Cumulative as TRUE.
  • Click OK, the answer appears in Spreadsheet.

The output obtained using Excel is represented as follows:

Statistical Techniques in Business and Economics, Chapter 7, Problem 57CE , additional homework tip  6

From the above output, the probability of Z less than 1.37 is 0.9147.

Now consider,

P(X=44)=P(Z<1.64)P(Z<1.37)=0.94950.9147=0.0348

Therefore, the probability that exactly 44 consider diet important is 0.0348.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!
Students have asked these similar questions
1 No. 2 3 4 Binomial Prob. X n P Answer 5 6 4 7 8 9 10 12345678 8 3 4 2 2552 10 0.7 0.233 0.3 0.132 7 0.6 0.290 20 0.02 0.053 150 1000 0.15 0.035 8 7 10 0.7 0.383 11 9 3 5 0.3 0.132 12 10 4 7 0.6 0.290 13 Poisson Probability 14 X lambda Answer 18 4 19 20 21 22 23 9 15 16 17 3 1234567829 3 2 0.180 2 1.5 0.251 12 10 0.095 5 3 0.101 7 4 0.060 3 2 0.180 2 1.5 0.251 24 10 12 10 0.095
step by step on Microssoft on  how to put this in excel and the answers please   Find binomial probability if: x = 8, n = 10, p = 0.7 x= 3, n=5, p = 0.3 x = 4, n=7, p = 0.6 Quality Control: A factory produces light bulbs with a 2% defect rate. If a random sample of 20 bulbs is tested, what is the probability that exactly 2 bulbs are defective? (hint: p=2% or 0.02; x =2, n=20; use the same logic for the following problems) Marketing Campaign: A marketing company sends out 1,000 promotional emails. The probability of any email being opened is 0.15. What is the probability that exactly 150 emails will be opened? (hint: total emails or n=1000, x =150) Customer Satisfaction: A survey shows that 70% of customers are satisfied with a new product. Out of 10 randomly selected customers, what is the probability that at least 8 are satisfied? (hint: One of the keyword in this question is “at least 8”, it is not “exactly 8”, the correct formula for this should be = 1- (binom.dist(7, 10, 0.7,…
Kate, Luke, Mary and Nancy are sharing a cake. The cake had previously been divided into four slices (s1, s2, s3 and s4).  What is an example of fair division of the cake       S1 S2 S3 S4 Kate $4.00 $6.00 $6.00 $4.00 Luke $5.30 $5.00 $5.25 $5.45 Mary $4.25 $4.50 $3.50 $3.75 Nancy $6.00 $4.00 $4.00 $6.00

Chapter 7 Solutions

Statistical Techniques in Business and Economics

Ch. 7 - List the major characteristics of a normal...Ch. 7 - The mean of a normal probability distribution is...Ch. 7 - The mean of a normal probability distribution is...Ch. 7 - The Kamp family has twins, Rob and Rachel. Both...Ch. 7 - Prob. 12ECh. 7 - The temperature of coffee sold at the Coffee Bean...Ch. 7 - A normal population has a mean of 20.0 and a...Ch. 7 - A normal population has a mean of 12.2 and a...Ch. 7 - A recent study of the hourly wages of maintenance...Ch. 7 - The mean of a normal probability distribution is...Ch. 7 - Prob. 5SRCh. 7 - Prob. 17ECh. 7 - A normal population has a mean of 80.0 and a...Ch. 7 - According to the Internal Revenue Service, the...Ch. 7 - Prob. 20ECh. 7 - WNAE, an all-news AM station, finds that the...Ch. 7 - Prob. 22ECh. 7 - Prob. 6SRCh. 7 - A normal distribution has a mean of 50 and a...Ch. 7 - Prob. 24ECh. 7 - Prob. 25ECh. 7 - Prob. 26ECh. 7 - Prob. 27ECh. 7 - Prob. 28ECh. 7 - Prob. 29ECh. 7 - Prob. 30ECh. 7 - Prob. 7SRCh. 7 - Prob. 31ECh. 7 - Prob. 32ECh. 7 - Prob. 33ECh. 7 - Prob. 34ECh. 7 - Prob. 35ECh. 7 - Prob. 36ECh. 7 - Prob. 8SRCh. 7 - Prob. 37ECh. 7 - The lifetime of LCD TV sets follows an exponential...Ch. 7 - Prob. 39ECh. 7 - Prob. 40ECh. 7 - Prob. 41CECh. 7 - Prob. 42CECh. 7 - Prob. 43CECh. 7 - Prob. 44CECh. 7 - Prob. 45CECh. 7 - Prob. 46CECh. 7 - Prob. 47CECh. 7 - Prob. 48CECh. 7 - Shaver Manufacturing Inc. offers dental insurance...Ch. 7 - The annual commissions earned by sales...Ch. 7 - Prob. 51CECh. 7 - Prob. 52CECh. 7 - Management at Gordon Electronics is considering...Ch. 7 - Fast Service Truck Lines uses the Ford Super Duty...Ch. 7 - Prob. 55CECh. 7 - Prob. 56CECh. 7 - Prob. 57CECh. 7 - Prob. 58CECh. 7 - Prob. 59CECh. 7 - Prob. 60CECh. 7 - Prob. 61CECh. 7 - Prob. 62CECh. 7 - The weights of canned hams processed at Henline...Ch. 7 - Prob. 64CECh. 7 - Prob. 65CECh. 7 - The price of shares of Bank of Florida at the end...Ch. 7 - Prob. 67CECh. 7 - Prob. 68CECh. 7 - Prob. 69CECh. 7 - Prob. 70CECh. 7 - Prob. 71CECh. 7 - Prob. 72CECh. 7 - Prob. 73CECh. 7 - Prob. 74DECh. 7 - Prob. 75DECh. 7 - Prob. 76DECh. 7 - Prob. 1PCh. 7 - Prob. 2PCh. 7 - Prob. 3PCh. 7 - Prob. 4PCh. 7 - Prob. 5PCh. 7 - Prob. 6PCh. 7 - Prob. 1.1PTCh. 7 - Prob. 1.2PTCh. 7 - Prob. 1.3PTCh. 7 - Prob. 1.4PTCh. 7 - Prob. 1.5PTCh. 7 - Prob. 1.6PTCh. 7 - Which of the following is NOT a requirement of the...Ch. 7 - Prob. 1.8PTCh. 7 - How many standard normal distributions are there?...Ch. 7 - Prob. 1.10PTCh. 7 - Prob. 1.11PTCh. 7 - Prob. 1.12PTCh. 7 - Prob. 1.13PTCh. 7 - Prob. 1.14PTCh. 7 - Prob. 1.15PTCh. 7 - Prob. 2.1PTCh. 7 - Prob. 2.2PTCh. 7 - Prob. 2.3PTCh. 7 - Prob. 2.4PTCh. 7 - Prob. 2.5PTCh. 7 - Prob. 2.6PTCh. 7 - Prob. 2.7PT
Knowledge Booster
Background pattern image
Statistics
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, statistics and related others by exploring similar questions and additional content below.
Similar questions
SEE MORE QUESTIONS
Recommended textbooks for you
Text book image
Glencoe Algebra 1, Student Edition, 9780079039897...
Algebra
ISBN:9780079039897
Author:Carter
Publisher:McGraw Hill
Text book image
Holt Mcdougal Larson Pre-algebra: Student Edition...
Algebra
ISBN:9780547587776
Author:HOLT MCDOUGAL
Publisher:HOLT MCDOUGAL
Text book image
College Algebra (MindTap Course List)
Algebra
ISBN:9781305652231
Author:R. David Gustafson, Jeff Hughes
Publisher:Cengage Learning
Text book image
College Algebra
Algebra
ISBN:9781938168383
Author:Jay Abramson
Publisher:OpenStax
Statistics 4.1 Point Estimators; Author: Dr. Jack L. Jackson II;https://www.youtube.com/watch?v=2MrI0J8XCEE;License: Standard YouTube License, CC-BY
Statistics 101: Point Estimators; Author: Brandon Foltz;https://www.youtube.com/watch?v=4v41z3HwLaM;License: Standard YouTube License, CC-BY
Central limit theorem; Author: 365 Data Science;https://www.youtube.com/watch?v=b5xQmk9veZ4;License: Standard YouTube License, CC-BY
Point Estimate Definition & Example; Author: Prof. Essa;https://www.youtube.com/watch?v=OTVwtvQmSn0;License: Standard Youtube License
Point Estimation; Author: Vamsidhar Ambatipudi;https://www.youtube.com/watch?v=flqhlM2bZWc;License: Standard Youtube License