In: Statistics and Probability
If you research, the average time in which driver-free cars will be used in the general population is around 20 years with a standard deviation of 10 years. Assume that the time is normally distributed.
1. What is the probability that a single randomly selected person believes that the time is between 15 and 20 years? (round to four decimals) nothing
2. What is the probability that a sample of 15 people believes that the average time is between 15 an 20 years? (Round to four decimals) nothing
Given,
= 20 , = 10
We convert this to standard normal as
P( X < x) = P( Z < x - / )
a)
P( 15 < X < 20) = P (X < 20) - P( X < 15)
= P( Z < 20 - 20 / 10) - P( Z < 15 - 20 / 10)
= P( Z < 0) - P( Z < -0.5)
= 0.5 - 0.3085 (Probability calculated from Z table)
= 0.1915
b)
Using central limit theorem,
P( < x) = P (Z < x - / ( / sqrt(n) ) )
So,
P(15 < < 20) = P( < 20) - P( < 15)
= P( Z < 20 - 20 / ( 10 / sqrt(15) ) ) - P( Z < 15 - 20 / ( 10 / sqrt(15) ) )
= P( Z < 0) - P( Z < -1.9365)
= 0.5 - 0.0264 (Probability calculated from Z table)
= 0.4736