Student Solutions Manual for Brase/Brase's Understanding Basic Statistics, 7th
7th Edition
ISBN: 9781305258792
Author: BRASE, Charles Henry
Publisher: Cengage Learning
expand_more
expand_more
format_list_bulleted
Concept explainers
Videos
Textbook Question
Chapter 8.3, Problem 8P
Basic Computation: Confidence Interval for p Consider n = 200 binomial trials with r= 80 successes.
(a) Check Requirements Is it appropriate to use a
(b) Find a 95% confidence interval for the population proportion of successes p.
(c) Interpretation Explain the meaning of the confidence interval you computed
Expert Solution & Answer
Trending nowThis is a popular solution!
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 8 Solutions
Student Solutions Manual for Brase/Brase's Understanding Basic Statistics, 7th
Ch. 8.1 - In Problems 1-8, answer true or false. Explain...Ch. 8.1 - In Problems 1-8, answer true or false. Explain...Ch. 8.1 - In Problems 1-8, answer true or false. Explain...Ch. 8.1 - In Problems 1-8, answer true or false. Explain...Ch. 8.1 - In Problems 1-8, answer true or false. Explain...Ch. 8.1 - In Problems 1-8, answer true or false. Explain...Ch. 8.1 - In Problems 1-8, answer true or false. Explain...Ch. 8.1 - In Problems 1-8, answer true or false. Explain...Ch. 8.1 - Critical Thinking Sam computed a 95% confidence...Ch. 8.1 - Critical Thinking Sam computed a 90% confidence...
Ch. 8.1 - Basic Computation: Confidence Interval Suppose x...Ch. 8.1 - Basic Computation:Confidence Interval Suppose x...Ch. 8.1 - Basic Computation: Sample Size Suppose x has a...Ch. 8.1 - Basic Computation: Sample Size Suppose x has a...Ch. 8.1 - Zoology: Hummingbirds Allen's hummingbird...Ch. 8.1 - Diagnostic Tests: Uric Acid Overproduction of uric...Ch. 8.1 - Diagnostic Tests: Plasma Volume Total plasma...Ch. 8.1 - Agriculture: Watermelon What price do farmers get...Ch. 8.1 - FBI Report: Larceny Thirty small communities in...Ch. 8.1 - Confidence Intervals: Values of A random sample...Ch. 8.1 - Confidence Intervals: Sample Size A random sample...Ch. 8.1 - Ecology: Sand Dunes At wind speeds above 1000...Ch. 8.1 - Profits: Banks Jobs and productivity! How do banks...Ch. 8.1 - Prob. 24PCh. 8.1 - Ballooning: Air Temperature How hot is the air in...Ch. 8.2 - Use Table 4 of the Appendix to find tc for a 0.95...Ch. 8.2 - Use Table 4 of the Appendix to find tc for a 0.99...Ch. 8.2 - Use Table 4 of the Appendix to find tc for a 0.90...Ch. 8.2 - Use Table 4 of the Appendix to find tc for a 0.95...Ch. 8.2 - Statistical Literacy Students t distributions are...Ch. 8.2 - Statistical Literacy As the degrees of freedom...Ch. 8.2 - Critical Thinking Consider a 90% confidence...Ch. 8.2 - Critical Thinking Consider a 90% confidence...Ch. 8.2 - Critical Thinking Lorraine computed a confidence...Ch. 8.2 - Critical Thinking Lorraine was in a hum when she...Ch. 8.2 - Basic Computation: Confidence Interval Suppose x...Ch. 8.2 - Basic Computation: Confidence Interval A random...Ch. 8.2 - In Problems 13-19. assumethat the population of x...Ch. 8.2 - In Problems 13-19. assumethat the population of x...Ch. 8.2 - In Problems 13-19. assume that the population of x...Ch. 8.2 - In Problems 13-19, assume that the population of x...Ch. 8.2 - In Problems 13-19, assume that the population of x...Ch. 8.2 - In Problems 13-19, assume that the population of x...Ch. 8.2 - 19 Critical Thinking: Boxplots and Confidence...Ch. 8.2 - Crime Rale: Denver The following data represent...Ch. 8.2 - Finance: P/E Ratio The price of a share of stock...Ch. 8.2 - 22.
Baseball: Home Run Percentage The home run...Ch. 8.2 - Expand Your knowledge: Alternate Method for...Ch. 8.3 - Statistical Literacy For a binomial experiment...Ch. 8.3 - Statistical Literacy In order to use a normal...Ch. 8.3 - Critical Thinking Results of a poll of a random...Ch. 8.3 - Critical Thinking You want to conduct a survey to...Ch. 8.3 - Critical Thinking Jerry tested 30 laptop computers...Ch. 8.3 - Critical Thinking: Brain Teaser A requirement for...Ch. 8.3 - Basic Computation: Confidence Interval for p...Ch. 8.3 - Basic Computation: Confidence Interval for p...Ch. 8.3 - Basic Computation: Sample Size What is the minimal...Ch. 8.3 - Basic Computation: Sample Size What is the minimal...Ch. 8.3 - Myers-Briggs: Actors Isabel Myers was a pioneer in...Ch. 8.3 - Myers-Briggs: Judges In a random sample of 519...Ch. 8.3 - Navajo Lifestyle: Traditional Hogans A random...Ch. 8.3 - Archaeology: Pottery Santa Fe black-on-white is a...Ch. 8.3 - Health Care: Colorado Physicians A random sample...Ch. 8.3 - Law Enforcement: Escaped Convicts Case studies...Ch. 8.3 - Fishing: Barbless Hooks In a combined study of...Ch. 8.3 - Focus Problem: Trick or Treat In a survey of a...Ch. 8.3 - Marketing: Customer Loyalty In a marketing survey,...Ch. 8.3 - Marketing: Bargain Hunters In a marketing survey,...Ch. 8.3 - Lifestyle: Smoking In a survey of 1000 large...Ch. 8.3 - Opinion Poll: Crime and Violence A NewYork...Ch. 8.3 - Medical: Blood Type A random sample of medical...Ch. 8.3 - Business: Phone Contact How hard is it to reach a...Ch. 8.3 - Campus Life: Coeds What percentage of your campus...Ch. 8.3 - Small Business: Bankruptcy The National Council of...Ch. 8.3 - Prob. 27PCh. 8.3 - Expand Your Knowledge: Plus Four Confidence...Ch. 8 - Statist Literacy In your own words, carefully...Ch. 8 - Critical Thinking Suppose you are told that a 95%...Ch. 8 - Critical Thinking If you have a 99% confidence...Ch. 8 - For Problems 8-12, categorize each problem...Ch. 8 - For Problems 8-12, categorize each problem...Ch. 8 - Prob. 6CRCh. 8 - For Problems 8-12, categorize each problem...Ch. 8 - Prob. 8CRCh. 8 - Telephone Interviews: Survey The National Study of...Ch. 8 - Prob. 10CRCh. 8 - Prob. 11CRCh. 8 - Prob. 12CRCh. 8 - Expand Your Knowledge: Two Confidence Intervals...Ch. 8 - Garrison Bay is a small hay in Washington stale. A...Ch. 8 - Examine Figure 8-7. Fall Back " (a) Of the 1024...Ch. 8 - Examine Figure 8.-8, "Coupons: Limited Use." (a)...Ch. 8 - In this chapter, we have studied confidence...Ch. 8 - Throughout Chapter 8. we have used the normal...Ch. 8 - When the results of a survey or a poll are...
Knowledge Booster
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
- Faye cuts the sandwich in two fair shares to her. What is the first half s1arrow_forwardQuestion 2. An American option on a stock has payoff given by F = f(St) when it is exercised at time t. We know that the function f is convex. A person claims that because of convexity, it is optimal to exercise at expiration T. Do you agree with them?arrow_forwardQuestion 4. We consider a CRR model with So == 5 and up and down factors u = 1.03 and d = 0.96. We consider the interest rate r = 4% (over one period). Is this a suitable CRR model? (Explain your answer.)arrow_forward
- Question 3. We want to price a put option with strike price K and expiration T. Two financial advisors estimate the parameters with two different statistical methods: they obtain the same return rate μ, the same volatility σ, but the first advisor has interest r₁ and the second advisor has interest rate r2 (r1>r2). They both use a CRR model with the same number of periods to price the option. Which advisor will get the larger price? (Explain your answer.)arrow_forwardQuestion 5. We consider a put option with strike price K and expiration T. This option is priced using a 1-period CRR model. We consider r > 0, and σ > 0 very large. What is the approximate price of the option? In other words, what is the limit of the price of the option as σ∞. (Briefly justify your answer.)arrow_forwardQuestion 6. You collect daily data for the stock of a company Z over the past 4 months (i.e. 80 days) and calculate the log-returns (yk)/(-1. You want to build a CRR model for the evolution of the stock. The expected value and standard deviation of the log-returns are y = 0.06 and Sy 0.1. The money market interest rate is r = 0.04. Determine the risk-neutral probability of the model.arrow_forward
- Several markets (Japan, Switzerland) introduced negative interest rates on their money market. In this problem, we will consider an annual interest rate r < 0. We consider a stock modeled by an N-period CRR model where each period is 1 year (At = 1) and the up and down factors are u and d. (a) We consider an American put option with strike price K and expiration T. Prove that if <0, the optimal strategy is to wait until expiration T to exercise.arrow_forwardWe consider an N-period CRR model where each period is 1 year (At = 1), the up factor is u = 0.1, the down factor is d = e−0.3 and r = 0. We remind you that in the CRR model, the stock price at time tn is modeled (under P) by Sta = So exp (μtn + σ√AtZn), where (Zn) is a simple symmetric random walk. (a) Find the parameters μ and σ for the CRR model described above. (b) Find P Ste So 55/50 € > 1). StN (c) Find lim P 804-N (d) Determine q. (You can use e- 1 x.) Ste (e) Find Q So (f) Find lim Q 004-N StN Soarrow_forwardIn this problem, we consider a 3-period stock market model with evolution given in Fig. 1 below. Each period corresponds to one year. The interest rate is r = 0%. 16 22 28 12 16 12 8 4 2 time Figure 1: Stock evolution for Problem 1. (a) A colleague notices that in the model above, a movement up-down leads to the same value as a movement down-up. He concludes that the model is a CRR model. Is your colleague correct? (Explain your answer.) (b) We consider a European put with strike price K = 10 and expiration T = 3 years. Find the price of this option at time 0. Provide the replicating portfolio for the first period. (c) In addition to the call above, we also consider a European call with strike price K = 10 and expiration T = 3 years. Which one has the highest price? (It is not necessary to provide the price of the call.) (d) We now assume a yearly interest rate r = 25%. We consider a Bermudan put option with strike price K = 10. It works like a standard put, but you can exercise it…arrow_forward
- In this problem, we consider a 2-period stock market model with evolution given in Fig. 1 below. Each period corresponds to one year (At = 1). The yearly interest rate is r = 1/3 = 33%. This model is a CRR model. 25 15 9 10 6 4 time Figure 1: Stock evolution for Problem 1. (a) Find the values of up and down factors u and d, and the risk-neutral probability q. (b) We consider a European put with strike price K the price of this option at time 0. == 16 and expiration T = 2 years. Find (c) Provide the number of shares of stock that the replicating portfolio contains at each pos- sible position. (d) You find this option available on the market for $2. What do you do? (Short answer.) (e) We consider an American put with strike price K = 16 and expiration T = 2 years. Find the price of this option at time 0 and describe the optimal exercising strategy. (f) We consider an American call with strike price K ○ = 16 and expiration T = 2 years. Find the price of this option at time 0 and describe…arrow_forward2.2, 13.2-13.3) question: 5 point(s) possible ubmit test The accompanying table contains the data for the amounts (in oz) in cans of a certain soda. The cans are labeled to indicate that the contents are 20 oz of soda. Use the sign test and 0.05 significance level to test the claim that cans of this soda are filled so that the median amount is 20 oz. If the median is not 20 oz, are consumers being cheated? Click the icon to view the data. What are the null and alternative hypotheses? OA. Ho: Medi More Info H₁: Medi OC. Ho: Medi H₁: Medi Volume (in ounces) 20.3 20.1 20.4 Find the test stat 20.1 20.5 20.1 20.1 19.9 20.1 Test statistic = 20.2 20.3 20.3 20.1 20.4 20.5 Find the P-value 19.7 20.2 20.4 20.1 20.2 20.2 P-value= (R 19.9 20.1 20.5 20.4 20.1 20.4 Determine the p 20.1 20.3 20.4 20.2 20.3 20.4 Since the P-valu 19.9 20.2 19.9 Print Done 20 oz 20 oz 20 oz 20 oz ce that the consumers are being cheated.arrow_forwardT Teenage obesity (O), and weekly fast-food meals (F), among some selected Mississippi teenagers are: Name Obesity (lbs) # of Fast-foods per week Josh 185 10 Karl 172 8 Terry 168 9 Kamie Andy 204 154 12 6 (a) Compute the variance of Obesity, s²o, and the variance of fast-food meals, s², of this data. [Must show full work]. (b) Compute the Correlation Coefficient between O and F. [Must show full work]. (c) Find the Coefficient of Determination between O and F. [Must show full work]. (d) Obtain the Regression equation of this data. [Must show full work]. (e) Interpret your answers in (b), (c), and (d). (Full explanations required). Edit View Insert Format Tools Tablearrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Glencoe Algebra 1, Student Edition, 9780079039897...AlgebraISBN:9780079039897Author:CarterPublisher:McGraw Hill
Big Ideas Math A Bridge To Success Algebra 1: Stu...AlgebraISBN:9781680331141Author:HOUGHTON MIFFLIN HARCOURTPublisher:Houghton Mifflin Harcourt
Glencoe Algebra 1, Student Edition, 9780079039897...
Algebra
ISBN:9780079039897
Author:Carter
Publisher:McGraw Hill
Big Ideas Math A Bridge To Success Algebra 1: Stu...
Algebra
ISBN:9781680331141
Author:HOUGHTON MIFFLIN HARCOURT
Publisher:Houghton Mifflin Harcourt
Hypothesis Testing - Solving Problems With Proportions; Author: The Organic Chemistry Tutor;https://www.youtube.com/watch?v=76VruarGn2Q;License: Standard YouTube License, CC-BY
Hypothesis Testing and Confidence Intervals (FRM Part 1 – Book 2 – Chapter 5); Author: Analystprep;https://www.youtube.com/watch?v=vth3yZIUlGQ;License: Standard YouTube License, CC-BY