Question

In: Statistics and Probability

A state insurance commission estimates that 20% of all motorists in its state are uninsured. Find...

A state insurance commission estimates that 20% of all motorists in its state are uninsured. Find the probability that in a random sample of 50 motorists, at least 8 will be uninsured.

Solutions

Expert Solution

= 8/50 = 0.16

p = 0.20, n = 50

To Find P( 0.16) = 1 - P( < 0.16)

Z = ( - p) / SE

SE = SQRT[p * (1 - p) / n] = SQRT[0.2 * 0.8 / 50] = 0.05657

Z = (0.16 - 0.20) / 0.05657 = -0.71

The probability for < 0.16 = 0.2389

Therefore P( > 0.16) = 1 - 0.2389 = 0.7611

orchestra answered 2 years ago
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