Questions
A manufacturer knows that their items have a normally distributed lifespan, with a mean of 10.3...

A manufacturer knows that their items have a normally distributed lifespan, with a mean of 10.3 years, and standard deviation of 2.4 years.
If you randomly purchase one item, what is the probability it will last longer than 7 years? (Give answer to 4 decimal places.)

A particular fruit's weights are normally distributed, with a mean of 645 grams and a standard deviation of 18 grams.
The heaviest 13% of fruits weigh more than how many grams?
Give your answer to the nearest gram.

Suppose that 59% of people own dogs. If you pick two people at random, what is the probability that they both own a dog?
(Give your answer as a fraction or decimal rounded to 3 places)

About 9% of the population has a particular genetic mutation. 1000 people are randomly selected.
Find the mean for the number of people with the genetic mutation in such groups of 1000. (Remember that means should be rounded to one more decimal place than the raw data.)

In: Statistics and Probability

Avila Hotel has 300 rooms and charges $120 per room. The hotel estimates that the demand...

Avila Hotel has 300 rooms and charges $120 per room. The hotel estimates that the demand for the rooms follows a uniform distribution between 270 and 330 each day. Reservations may be canceled by 6pm with no penalty. The hotel estimates that 3% of the reservations are canceled by 6pm. Hence, the hotel allows
overbooking by 20 room (the hotel allows up to 320 customers to make reservation). When more customers arrive than can be handled (e.g., more than 300 customers), the hotel incurs $200 cost by putting them up at another hotel. The daily operating cost is $25,000, regardless of the number of rooms reserved. Develop a simulation model on Excel with 1000 trials to answer the following questions:

a) What is the average net profit of the hotel?
b) What is the probability of having a net profit more than $8,000?
c) What is the probability of having all the rooms occupied by guest

In: Statistics and Probability

a rewiw of anairline s operations revealed that historicall the airline had an average of 6.43...

a rewiw of anairline s operations revealed that historicall the airline had an average of 6.43 mishandled bags per 1,000 passengers. a mishandled bag is luggage that was not send together with the passenger s plane it was either lost or arrived late
a) what is the chance that for the next 2,000 passengers the airline will have more than 11 mishandled bags?
the chance that for the 2000 pazsengers the airline will have more than 11 misshandle bags is?
b) after a consulting company evaluate the airline s operations the airline overhauled its bag monitoring computer system as a result thr number of mishandled bags per 1,000 passengers decresed by % 30 given that new compute system what is the probability that for the next 3.000 passengers the air line will have fewer that 10 mishandle bags ?
given the new computer system the probability that for the next 3,000 passengers the airline will have fewer that 10 mishandled bag is ?

In: Statistics and Probability

3. [8 marks] Suppose a survey is conducted by Ipsos, a Canadian market research polling firm,...

3. [8 marks] Suppose a survey is conducted by Ipsos, a Canadian market research polling firm, on user satisfaction with cell phone coverage across the country. They sample 10 customers at random without replacement. Assume all sampled customers are independent. Suppose 30% of users nationwide are satisfied with their cell phone coverage.

a) [5 marks] Calculate the probability that 3 or more of the 10 randomly sampled cell phone customers are satisfied with their cell phone coverage.

b) [1 mark] Why is the probability that exactly 3 out of the 10 randomly sampled customers are satisfied with their cell phone coverage different from 0.3? Please answer in at most three sentences.

c) [1 mark] On average, in a sample of 10 customers, how many do you expect to be satisfied with their cell phone coverage?

d) [1 mark] Calculate the variance of the random variable associated with the number of satisfied customers.

In: Statistics and Probability

On the leeward side of the island of Oahu, in the small village of Nanakuli, about...

On the leeward side of the island of Oahu, in the small village of Nanakuli, about 70% of the residents are of Hawaiian ancestry. Let n = 1, 2, 3, ... represent the number of people you must meet until you encounter the first person of Hawaiian ancestry in the village of Nanakuli. (a) Write out a formula for the probability distribution of the random variable n. (Use p and n in your answer.) P(n) = Incorrect: Your answer is incorrect. (b) Compute the probabilities that n = 1, n = 2, and n = 3. (Use 3 decimal places.) P(1) P(2) P(3) (c) Compute the probability that n ≥ 4. (Use 3 decimal places.) (d) In Waikiki, it is estimated that about 7% of the residents are of Hawaiian ancestry. Repeat parts (a), (b), and (c) for Waikiki. (Use 3 decimal places.) (a) P(n) = (b) P(1) P(2) P(3) (c)

In: Statistics and Probability

- Determine the number of three-digit area codes that can be made from the digits 0-9,...

- Determine the number of three-digit area codes that can be made from the digits 0-9, assuming the digits can repeat.

- Suppose that there are 15 people in a class. How many ways can the instructor randomly pick three students, if the order doesn’t matter?

-You are playing a game at a local carnival where you must pick a card from a normal 52-card deck. If you pick a face card (jack, queen or king) you get $2. If you pick an ace, you get $5. If you pick any other card, you have to pay $2. What is your expected value for playing this game?

-Suppose that the probability of your favorite baseball player getting a hit at each at-bat is 0.350. Assume that each at-bat is independent of any other at-bat. What is the probability that he bats five times and gets exactly two hits?

In: Statistics and Probability

There are 50 students in a classroom at UT-Almost. Thirty of these students started as freshmen...

There are 50 students in a classroom at UT-Almost. Thirty of these students started as freshmen at UTA; the rest are transfers. The transfer students are split evenly between business majors and liberal arts majors. the total number of business majors is 25. (use for both questions)

#13 – If we randomly selected a single student, what is the probability he/she will be either a liberal art major or a transfer student?

ANSWER:

#16 – Suppose we randomly selected two students using this process: We take 40 envelopes and insert a slip of paper (either red or white) into each one. Each envelope is then sealed and then placed in a big box from which students draw one envelope each. The student who draw envelopes with red slips inside them are selected. Two of the envelopes contain red slips; the rest contain white. What is the probability that both students selected will be transfers?

ANSWER:

In: Statistics and Probability

A company has equity with market value $100 million and debt with market value at $70

A company has equity with market value $100 million and debt with market value at $70 million. The debt pays perpetual expected coupons of $3.5 million annually.

The numbers above are prior to a stock buyback being announced.

The company uses some of its cash buyback stock on of $20 million. As a result of the fall in its cash, the expected coupon payment to debt reduce to $3.4 million (expected payments is the probability-weighted future coupons and the probability that in some future states of the world the firm would default has increased due to the stock buyback). Also the rate of discount Rd for expected coupons paid to debt rises to 5.25%.

Assume Modigliani Miller is true (which also means there are no taxes).

What will be the value of equity after the stock buyback? (Do not include the $20 million that is paid to the equity holder.)

Write the answer in millions rounded to the nearest whole number.

In: Accounting

1. List all possible samples of n=2 from the following population {1,2,3,5,6,7} (note that there is...

1. List all possible samples of n=2 from the following population {1,2,3,5,6,7} (note that there is no number 4 in the population). Assume that those numbers represent the years of age of six different people. Create a sampling distribution of the 15 different sample means based on each possible pair (e.g., the sample {2,1} represents on possible such pair). Assume further that the order of the numbers does not matter (e.g., the pair {1,2} is the same as the pair {2,1}). Compute the expected value of the resulting sampling distribution (i.e., the mean age or μ) based on the 15 different sample means. Compute the standard deviation (i.e., the standard error or SE) of the resulting sampling distribution based on the 15 different sample means.

2. Based on the sampling distribution you created in question 2 above, what is the probability of underestimating (i.e., the probability to the left) the true population mean age (μ) by 2 years.

In: Statistics and Probability

Suppose that the weights of airline passenger bags are normally distributed with a mean of 49.53...

Suppose that the weights of airline passenger bags are normally distributed with a mean of 49.53 pounds and a standard deviation of 3.16 pounds.

a) What is the probability that the weight of a bag will be greater than the maximum allowable weight of 50 pounds? Give your answer to four decimal places.  

b) Let X represent the weight of a randomly selected bag. For what value of c is P(E(X) - c < X < E(X) + c)=0.96? Give your answer to four decimal places.  

c) Assume the weights of individual bags are independent. What is the expected number of bags out of a sample of 17 that weigh greater than 50 lbs? Give your answer to four decimal places.  

d) Assuming the weights of individual bags are independent, what is the probability that 8 or fewer bags weigh greater than 50 pounds in a sample of size 17? Give your answer to four decimal places.

In: Statistics and Probability