In: Statistics and Probability
It is appropriate to use the normal approximation to the binomial because the sample size is very large (796)
p = 0.033
q = 0.967
Mean = np = 796(0.033) = 26.268
Variance = np(1-p) = 796(0.033)(0.967)=25.4011
Standard deviation = 5.0399
(a) 15 or more will live beyond their 90th birthday
P( x 15)
Using continuity correction use 14.5 instead of 15.
(14.5-26.268) / 5.0399 = -2.334
P(Z > -2.334) = P(Z < 2.334) = 0.9901
(b) 30 or more will live beyond their 90th birthday
(29.5-26.268) / 5.0399 = 0.6412
P(Z > 0.6412) = =1 − P ( Z < 0.6412 ) = 1 − 0.7389 = 0.2611
(c) between 25 and 35 will live beyond their 90th birthday
P( 25.5 < x < 35.5)
((35.5-26.268) / 5.0399) = 1.8317
((25.5-26.268) / 5.0399) = -0.1523
P( -0.1523 < Z < 1.8317) = P( Z<1.8317 ) − P (Z<−0.1523 ) = 0.9664 - 0.4404 = 0.526
(d) more than 40 will live beyond their 90th birthday
P( x > 40.5)
(40.5-26.268) / 5.0399 = 2.8238
P( Z > 2.8238) = 1 − P ( Z<2.8238 ) = 1−0.9976 = 0.0024