Question

In: Statistics and Probability

Ten percent of the corporate managers at Axolotl Industries majored in humanities. What is the expected...

Ten percent of the corporate managers at Axolotl Industries majored in humanities. What is the expected number of managers to be interviewed before finding the first one with a humanities major?

  • 15

  • 20

  • 10

  • 17

Solutions

Expert Solution

Solution

Back-up Theory

If a discrete random variable, X, has probability function, p(x), x = x1, x2, …., xn, then

Expected value of X = E(X) = Σ{x.p(x)} summed over all possible values of x….................................................…. (1)

Now, to work out the solution,

Let X = number of managers to be interviewed before finding the first one with a humanities major

Ten percent of the corporate managers at Axolotl Industries majored in humanities =>

Probability of finding a manager with a humanities major = 0.1 and hence

Probability of not finding a manager with a humanities major = 0.9

Now, X = 1 => first manager interviewed is a humanities major and so P(X = 1) = 0.1

X = 2 => first manager interviewed is not a humanities major and the second manager interviewed

is a humanities major. So P(X = 2) = 0.9 x 0.1

X = 3 => first two manager interviewed are not humanities majors and the third manager interviewed

is a humanities major. So P(X = 3) = 0.92 x 0.1

Similarly, P(X = 4) = 0.93 x 0.1; P(X = 5) = 0.94 x 0.1; and so on, the process, mathematically, would

go to infinity.

So, vide (1),

E(X), say =

E = (1 x 0.1) + (2 x 0.9 x 0.1) + (3 x 0.92 x 0.1) + (4 x 0.93 x 0.1) + ................... to infinity ............................ (2)

0.9E =              (1 x 0.9 x 0.1) + (2 x 0.92 x 0.1) + (3 x 0.93 x 0.1) + ................... to infinity ............................ (3)

(2) - (3):

0.1E = (1 x 0.1) + (1 x 0.9 x 0.1) + (2 x 0.92 x 0.1) + (3 x 0.93 x 0.1) + ................... to infinity

= (1 x 0.1)/(1 – 0.9) [applying the formula for the sum of an infinite geometric series]

= 1

=> E = 1/0.1 = 10. Thus,

expected number of managers to be interviewed before finding the first one with a humanities major = 10 Answer

Third Option

DONE

[going beyond,

X has Geometric Distribution with parameter p = 0.1 and mean of Geometric Distribution is 1/p.]


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