Assignments for the Course Business Statistics

Instruction
➢ Show all the necessary steps for each question
Assignment I
1. A population consists of the following five values: 7, 7, 8, 8, and 7.
A. What is the population mean?
B. What is the sampling distribution of the means for samples of size 2?
C. What is the mean of the sampling distribution of the means?

2. Assume that the operation manager of Hawasa textile factory determines that 65% of all
customers are a loyal. If you select a random sample of 150 customers, calculate the
probability that the sample proportion of customers which are loyal is greater than 75 %.

3. A survey found that out of 200 workers, 168 said they were interrupted three or more
times an hour by phone messages, faxes, etc. Find the 90% confidence interval of the
population proportion of workers who are interrupted three or more times an hour.

4. A recent study of 28 employees of XYZ Company showed that the mean wage was 14.3
birr per day. The standard deviation of the sample mean was 2 birr per day.Find the 95%
confidence interval of the true mean.

5. The investigator is desired to estimate the mean number of chocolate chips per cookie for
a large national brand. How many cookies would have to be sampled to estimate the true
mean number of chips per cookie within 2 chips with 99% confidence? Assume that the
standard deviation is 10.1 chips. Determine the optimum sample size?

Assignment II

6. Of 150 girls who tried a new candy 87 rated it excellent of 200 boys sampled 123 rated it
excellent using the 0.10 level of significance, can we conclude that there is a difference in
the proportion of girls versus boys who rate the candy excellent? (Use P-value approach)
7. A real Estate Association is preparing a pamphlet that they feel might be of interest to
prospective home buyers in the eastern and western areas of the city. One item of interest
is the length of time the seller occupied the home. A sample of 40 home sold recently in
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 the eastern areas revealed that the mean length of ownership was 7.6 years with standard
deviation of 2.3 years. A sample of 55 homes in the western areas revealed that the mean
length of ownership was 8.1 years with a standard deviation of 2.9 years. At the 0.05
significance level can we conclude that the Eastern residents owned the homes for a
shorter period of time? (Use P-value approach)
8. From past records it is known that the arithmetic mean life of a battery used in a digital
clock is 305 days. The battery was recently modified to last longer. Samples of 20
modified batteries were tested. It was discovered that the man life was 311 days and the
sample standard deviation was 12 days. At the 0.05 level of significance, did the
modification increases the mean life of the battery? (Use critical value approach)
9. The Addis Ababa transport authority reported that 52 percent of Ride drivers are men. A
sample of 300 cars traveling revealed that 170 were driven by men. At the 0.01
significance level, can we conclude that a larger proportion of men were driving Ride
cars than the transport authority statistics indicate?
10. A contractor assumes that the idle time for construction workers is not expected to exceed
75 minutes. A random sample of 25 construction workers was taken and the mean idle
time was found to be 84 minutes per day with a sample standard deviation of 20 minutes.
Assume that the population is approximately normally distributed; use a 5% level of
significance to test the contractor’s assumption. (Use critical value approach)
NB:
➔ Plagiarism is strictly forbidden
➔ Submission date: 22/11/2014 E.C