AS 2021-22

Applied Statistics –Exercise Solution

Chapter 1 – Sampling Methods

1.
(a) Stratified sampling method
(b) Sample size for each country should be:
140
Singapore: 2000× = 20
14000

140
Korea: 3000× = 30
14000

140
China: 5000× 14000 = 50

140
Malaysia: 1500× 14000 = 15

140
Thailand: 2500 × 14000 = 25

2.
(a) All full-time employed staff working in restaurants.
(b) Cluster sampling
The subject of the survey is individual full-time employed staff working in restaurants.
Instead of preparing a sampling frame which identifies all full-time employed staff working in
restaurants, a list of registered restaurants is prepared and samples of restaurant are selected.
All full-time employed staff working in the selected restaurants will be surveyed. This
procedure is classified as cluster sampling.

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3.
(a) All (1500) supermarkets of this supermarket chain.
(b) Sample size for each district should be:
60
Central: 550× = 22
1500

60
South: 250× = 10
1500

60
North: 200× 1500 = 8

60
East: 350× 1500 = 14

60
West: 150× =6
1500

(c) It is fast to generate the sample

(d) For systematic sampling, we need to choose 1 supermarket from every k supermarkets, where
1500
k= = 25.
60

As the first identity number is 0037, then the next three identity numbers are:
0037 + 25 = 0062,
0062 + 25 = 0087,
0087 + 25 = 0112

4.
(a) Systematic
(b) Cluster
(c) Simple random
(d) Cluster
(e) Systematic
(f) Stratified

5.
(a) Quantitative (discrete)
(b) Quantitative (discrete)
(c) Quantitative (continuous)
(d) Quantitative (continuous)
(e) Qualitative

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6.
(a) Qualitative
(b) Quantitative (Continuous)
(c) Quantitative (Continuous)
(d) Quantitative (Discrete)
(e) Qualitative

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Chapter 2 - Statistical Measures and Data Presentation

1. The ordered array: 39, 41, 45, 52, 53, 55, 58, 59, 60, 61, 62, 62, 63, 65, 65, 65, 69, 70, 72, 77
* Data must be rearranged as ordered array before finding any percentile.

(a) mean = 59.65 minutes (from calculator)

mode = 65 minutes
50 61+62
median = 61.5 minutes (n = 20, i = 20  100
= 10, median = 2
)

25 53+55
Q1 = 54 minutes (n = 20, i = 20  100
= 5, 𝑄1 = 2
)

75 65+65
Q3 = 65 minutes (n = 20, i = 20  = 15, 𝑄3 = )
100 2

17
17th percentile = 52 minutes (𝑛 = 20, 𝑖 = 20 × 100 = 3.4 ↑ 4, 17𝑡ℎ 𝑝𝑒𝑟𝑐𝑒𝑛𝑡𝑖𝑙𝑒 = 52)

87
87th percentile = 70 minutes (𝑛 = 20, 𝑖 = 20 × 100 = 17.4 ↑ 18, 87𝑡ℎ 𝑝𝑒𝑟𝑐𝑒𝑛𝑡𝑖𝑙𝑒 = 70)

(b) sample standard deviation = 9.9328 minutes (from calculator)

sample variance = 9.93282 = 98.6605
(c) Left-skewed distribution as Q2 - Q1 (61.5 – 54 = 7.5) > Q3 - Q2 (65 – 61.5 = 3.5).

2. The raw data: 95, 60, 120, 75, 60, 70, 40, 35, 115, 60
The ordered array: 35, 40, 60, 60, 60, 70, 75, 95, 115, 120

(a) $73 (from calculator)

(b) $60
50 60+70
(c) $65 (𝑛 = 10, 𝑖 = 10 × 100 = 5, 𝑚𝑒𝑑𝑖𝑎𝑛 = 2
)

25
(d) $60 (𝑛 = 10, 𝑖 = 10 × 100 = 2.5 ↑ 3, 𝑄1 = 60)

75
(e) $95 (𝑛 = 10, 𝑖 = 10 × = 7.5 ↑ 8, 𝑄3 = 95)
100

(f) $85 (120 – 35 = 85)

(g) $35 (Q3 – Q1 = 95 – 60 = 35)
(h) $28.8868 (from calculator)
(i) It's a right-skewed distribution as Q2 - Q1 (65 – 60 = 5) < Q3 - Q2 (95 – 65 = 30).

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3. The ordered array of the dataset:

327 591 662 730 768 820
873 951 1214 2460 4260 5293
(a) sample mean = $1579.1 (from calculator)
sample median = $846.5 (𝑛 = 12, 𝑖 = 12 × 0.5 = 6)
662+730
Q1 = = $696 (𝑛 = 12, 𝑖 = 12 × 0.25 = 3)
2

1214+2460
Q3 = 2
= $1837 (𝑛 = 12, 𝑖 = 12 × 0.75 = 9)

10th percentile = $591 (𝑛 = 12, 𝑖 = 12 × 0.1 = 1.2 ↑ 2)

(b) range = 5293 - 327 = $4966
IQR = 1837 - 696 = $1141
Sample standard deviation = $1598.9 (from calculator)
(c) Skewed to the right, as Q2 – Q1 = 150.5 < Q3 – Q2 = 990.5

4.
Company A Company B
Mean $29000 $61000
Median $28500 $62500
Q1 $26000 $53500
Q3 $31500 $67000
variance 13333333.33 51666666.67
standard deviation $3651.48 $7187.95

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5.
(a) Yuen Long: sample mean = $45.5, sample standard deviation = $10.54
Causeway Bay: sample mean = $68.5, sample standard deviation = $17.86
(b) On the average workers working at Causeway Bay spend more money on lunch than those
working at Yuen Long. The deviation of spending among workers working at Causeway Bay
is larger than the deviation of the spending among workers working at Yuen Long.

Ordered array of the combined data:

33 35 38 40 43 48 48 50 53 54
55 58 62 63 74 80 82 88 89 93

(c) sample mean = $59.3,

sample standard deviation = $18.95
82th percentile = $82 (i = 20(0.82) = 16.4↑17)
43+48
(d) First quartile = = $45.5 (i = 20(0.25) = 5)
2

54+55
Median = = $54.5 (i = 20(0.5) = 10)
2

74+80
Third quartile = = $77 (i = 20(0.75) = 15)
2

With Q2 – Q1 = $9 < Q3 – Q2 = $22.5

It is a right-skewed distribution.

6.
(a) Mean = $51000, sample standard deviation = $2943.9203
(b) (i) New salary: $53000, $60000, $56000, $55000
New mean = $56000, new sample standard deviation = $2943.9203
(ii) Use X to denote the original salary and Y to denote the salary after an increment of $5000,
Y = X + 5000,
Mean of Y = Mean of X + 5000 = 51000 + 5000 = $56000,
Sample standard deviation of Y = sample standard deviation of X = $2943.9203;
(c) (i) New salary: $57600, $66000, $61200, $60000
New mean = $61200, new sample standard deviation = $3532.7043
(ii) Use X to denote the original salary and W to denote the salary after 20% increment,
W = 1.2(X)
Mean of W = (1.2) (Mean of X) = 1.2(51000) = $61200,
Sample standard deviation of W = (1.2) (sample standard deviation of X)
= 1.2 (2943.9203) = $3532.7044

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7.
86+85+93+108+⋯+106
(a) Sample mean = = 96.125 kg
16

(86−96.125)2 +(85−96.125)2 +⋯+(106−96.125)2

Sample standard deviation = √ 16−1
= 10.782 kg

(b) Ordered array:

84 84 85 86 87 91 91 92
93 98 99 103 106 108 113 118

86+87
Q1 = 2
= 86.5 kg (i = 16(0.25) = 4)

92+93
Median = = 92.5 kg (i = 16(0.5) = 8)
2

103+106
Q3 = = 104.5 kg (i = 16(0.75) = 12)
2

(c) 10th percentile = 84 kg (i = 16(0.1) = 1.6 ↑ 2)

90th percentile = 113 kg (i = 16(0.9) = 14.4 ↑ 15)
(d) Use X to denote the body weight before joining the program, Y to denote the body weight after
joining the program,
Y = 0.9X
Sample mean of Y = 0.9(sample mean of X) = 0.9(96.125) = 86.513 kg
Sample standard deviation of Y = 0.9(Sample standard of X) = 0.9(10.782) = 9.704 kg
(e) Use W to denote the body weight after joining the program in lb,
W = 2.2Y
Sample mean of W = 2.2(sample mean of Y) = 2.2(86.513) = 190.329 lb
Sample standard deviation of W = 2.2(Sample standard of Y) = 2.2(9.704) = 21.349 lb

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8.
16+25+⋯+260
(a) Sample mean = = US$ 141.1
10

k = 185
(b) Sample standard deviation = US$ 80.0617 (from calculator)
Sample standard variance = (80.0617)2 = (US$)2 6409.8778
(c) First quartile = US$ 75 (i = 10(0.25) = 2.5 ↑3)
150+185
Median = 2
= US$ 167.5 (i = 10(0.5) = 5)

Third quartile = US$ 190 (i = 10(0.75) = 7.5 ↑8)

(d) Use X to denote the selling price of a headphone and Y to denote the payment of ordering the
headphone
(i) Y = 7.75X + 35
(ii) Sample Mean of Y = 7.75 (sample mean of X) + 35 = 7.75(141.1) + 35 = HK$ 1128.53
Sample standard deviation of Y = 7.75 (sample standard deviation of X)
= 7.75(80.0617) = HK$ 620.4782

9.
(a) population mean
(b) population standard deviation
(c) population variance
(d) sample mean
(e) sample variance
(f) sample standard deviation
(g) interquartile range
(h) first quartile
(i) second quartile / median
(j) third quartile

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Chapter 3 – Probability

1.
Number of trips 1 2 3 4 5 6
Probability 0.2087 0.4320 0.2718 0.0583 0.0194 0.0097

2.
21
(a) “Los Angeles” is the most popular choice of pizza among all customers. 35% ( × 100%)
60

customers like “Los Angeles” pizza.

(b) “Hawaiian” is the most popular choice of pizza among customers aged between 18 and 25.
7
of those customers aged between 18 and 25 like "Hawaiian" pizza.
22

(c) “Los Angeles” is the most popular choice of pizza among customers aged between 26 and 45.
The probability that a randomly selected customer aged between 26 and 45 like “Los Angeles”
10
pizza = = 0.5
20

(d) “Los Angeles” is the most popular choice of pizza among customers aged 46 or above.
8
44.44% (18 × 100%) customers aged 46 or above like “Los Angeles” pizza.

3.
(a)
Whole Company Number of business trips goes for in a month, X
x 0 1 2 3 4 5
Probability 0.3529 0.2721 0.2647 0.0588 0.0368 0.0147

(b)
Marketing department Number of business trips goes for in a month, X
x 0 1 2 3 4 5
Probability 0.2439 0.3659 0.1951 0.0976 0.0488 0.0488

(c)
Finance department Number of business trips goes for in a month, X
x 0 1 2 3 4 5
Probability 0.1860 0.2326 0.4186 0.0930 0.0698 0

(d)
Research department Number of business trips goes for in a month, X
x 0 1 2 3 4 5
Probability 0.5769 0.2308 0.1923 0 0 0

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4. Regenerate the contingency table from the given information:

Male Female Total

Full-time student 40 80 120
Full-time employment 180 170 350
Part-time employment 20 60 80
Self-employed 10 40 50
Total 250 350 600

120
(a) P(full-time student) = = 0.2
600

350
P(full-time employment) = 600
= 0.5833

80
P(part-time employment) = 600
= 0.1333

50
P(self-employed) = = 0.0833
600

40
(b) P(full-time student | male) = = 0.16
250

180
P(full-time employment | male) = = 0.72
250

20
P(part-time employment | male) = 250
= 0.08

10
P(self-employed | male) = = 0.04
250

80
(c) P(full-time student | May is a female) = 350
= 0.2286

170
P(full-time employment | May is a female) = = 0.4857
350

60
P(part-time employment | May is a female) = = 0.1714
350

40
P(self-employed | May is a female) = = 0.1143
350

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5.
How often do you dinner with Elderly Teenager Total
your family?
Seldomly 210 240 – 210 = 30 240
Sometimes 180 350 – 180 = 170 350
Quite Often 60 – 40 = 20 40 60
Always 250 – 160 = 90 160 250
Total 500 400 900

250
(a) P(always have dinner with family) = = 0.2778
900

210
(b) P(seldomly have dinner with family | elderly) = 500
= 0.42

90
(c) P(always have dinner with family | elderly) = = 0.18
500

30
(d) P(teenager | seldomly have dinner with family) = 240 = 0.125

90
(e) P(elderly | always dinner with family) = = 0.36
250

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Chapter 4 – Probability Distribution

1. The whole sample has 150 customers, there are 66 customers purchasing 4 cans of cola, 60
customers purchasing 6 cans of cola, and 24 customers purchasing 9 cans of cola.
66
P(purchasing 4 cans of cola) = = 0.44
150

60
P(purchasing 6 cans of cola) = = 0.4
150

24
P(purchasing 9 cans of cola) = = 0.16
150

The probability distribution function of X (X: number of cans of cola purchased)

x 4 6 9
P(X = x) 0.44 0.4 0.16

2.
(a) As total probability = 1, k + k + 0.4 + 0.15 + 2k + 2k = 1, k = 0.075
(b) Most likely, a secondary school student attends 2 tutorial classes in a week, with the probability
of 0.4.
(c) P(X  3) = p(3) + p(4) + p(5) = 0.15 + 2(0.075) + 2(0.075) = 0.45
(d) P(X ≤ 4) = p(0) + p(1) + p(2) + p(3) + p(4) = (0.075) + (0.075) + 0.4 + 0.15 + 2(0.075) = 0.85

3.

(a) 4k + 10k + 3k + 2k + k = 1, k = 0.05

(b) Most likely, Alex can sell 1 notebook in a day. The probability of selling 1 notebook in a day
is 10(0.05) = 0.5.
(c) P(X > 3) = p(4)= 0.05

4.
(a) Most likely, there are 2 requests in a day, with the probability of 0.3.
(b) P(X < 2) = 0.20 + 0.05 = 0.25
(c) P(X > 2) = 0.25 + 0.15 + 0.05 = 0.45
(d) In order to have the probability of turning a request away to be less than 0.1, the center needs to
have the capacity to serve 4 customers, P(X > 4) = 0.05 < 0.1. So the capacity must be
increased by 2.

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5.
(a) For male employees,
Expectation = E(X) = 0(0.3) + 1(0.29) + 2(0.24) + 3(0.12) + 4(0.03) + 5(0.02) = 1.35 days
Variance = Var(X) = 02 (0.3) + 12 (0.29) + 22 (0.24) + 32 (0.12) + 42 (0.03) + 52 (0.02) − 1.352
= 1.4875 (days2)
Standard deviation = (X) = √𝑉𝑎𝑟(𝑋) = 1.2196 days

(d) For female employees

P(Y=0) = 1 - 0.32 - 0.34 - 0.06 - 0.04 - 0.03 = 0.21
Expectation = E(Y) = 0(0.21) + 1(0.32) + 2(0.34) + 3(0.06) + 4(0.04) + 5(0.03) = 1.49 days
Variance = Var(Y) = 02 (0.21) + 12 (0.32) + 22 (0.34) + 32 (0.06) + 42 (0.04) + 52 (0.03) − 1.492
= 1.3899 (days2)
Standard deviation = (Y) = √𝑉𝑎𝑟(𝑌) = 1.1789 days

6.
(a) As each 0 ≤ p(x) and ∑ 𝑝(𝑥) = 1,
∴ 0  m  0.3

(b) When m = 0.2,

E(X) = (-10000)(0.15) + (-2000)(0.1) + 1000(0.2) + 5600(0.25) +20000(0.2) + 25000(0.1)
= $6400
Var(X) = E(X2) - E(X) 2 = (-10000) 2 (0.15) + (-2000) 2 (0.1) + 10002 (0.2) + 56002 (0.25)
+200002 (0.2) + 250002 (0.1) - 64002 = 124980000 ($2)
σ(X) = √𝑉𝑎𝑟(𝑋) = $11179.45

(c) Set E(X) = 6900

(-10000)(0.15) + (-2000)(0.1) + 1000(0.2) + 5600(0.25) + 20000(m) + 25000(0.3 - m) = 6900
m = 0.1

(d) The expected profit is maximum when m = 0,

E(X) = (-10000)(0.15) + (-2000)(0.1) + 1000(0.2) + 5600(0.25) + 25000(0.3) = $7400

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7.
(a) k = 1 – 0.2 – 0.5 – 0.2 = 0.1
(b) E(X) = 8000(0.2) + 9000(0.5) + 12000(0.2) + 18000(0.1) = $10300
Var(X) = 80002(0.2) + 90002(0.5) + 120002(0.2) + 180002(0.1) – 103002 = 8410000 ($2)
(c) E(profit) = E(revenue – Cost) = E(revenue) – E(Cost) = 10300 – 10000 = $300

8.
(a) As total probability = 1, 2a + a + a + 3a + 8a = 1, a = 1/15
(b) E(X) = 0(2/15) + 1(1/15) + 2(1/15) + 3(3/15) + 4(8/15) = 2.9333 orders,
Var(X) = 02(2/15) + 12 (1/15) + 22 (1/15) + 32 (3/15) + 42 (8/15) – 2.93332 = 2.0624
(X) = √2.0624 =1.4361 orders
(c) Y = 150+ 80X,
E(Y) = 150 + 80E(X) = $384.664,
(Y) = 80(X) = $114.888

1
9. As total probability = 1, a + a + 3a + 3a + 2a + 2a = 1, a =
12

x 11 12 13 14 15 16
P(X=x) 1 1 3 3 2 2
12 12 12 12 12 12

1 1 3 3 2 2
(a) E(X) = 11(12) + 12(12) + 13(12) + 14(12) + 15 (12) + 16(12) = 13.8333 customers

1 1 3 3 2 2
Var(X) = 112( ) + 122( ) + 132( ) + 142( ) + 152( ) + 162( ) - 13.83332 = 2.1398
12 12 12 12 12 12

σ(X) = √2.1398 = 1.4628 customers

(b) Denote the daily income as Y, then Y = 300 + 75X
E(Y) = 300 + 75E(X) = $1337.50
σ(Y) = 75σ(X) = $109.71

10. With profit = revenue – cost

(a) Y = 10500X – (1020)(7.8)X - 520,
Y = 2544X - 520
(b) E(Y) = 2544E(X) - 520 = 2544(4.6) - 520 = $11182.4
σ(Y) = 2544σ(X) = 2544(1.1) = $2798.4

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11.
(a) As total probability = 1, k + 2k + 4k + 2.5k + 0.5k = 1, 10k = 1, k = 0.1
Probability that there is no complaint is 0.1
(b) E(X) = 0(0.1) + 1(0.2) + 2(0.4) + 3(0.25) + 4(0.05) = 1.95 complaints
Var(X) = 02(0.1) + 12(0.2) + 22(0.4) + 32(0.25) + 42(0.05) – 1.952 = 1.0475
(X) = 1.0235 complaints
(c) Use Y to represent number of hours needed for handling complaints in a day
Y = 1.5X
E(Y) = 1.5 E(X) = 2.925 hours
(Y) = 1.5 (X) = 1.5(1.0235) = 1.5353 hours
(d) P(Y > 5) = P(1.5X > 5) = P(X > 3.33) = 0.5(0.1) = 0.05

12. Use X to denote the number of regular body check-up, Y to denote the number of dental
check-up, and T to denote the total number of check-up.
T=X+Y
E(T) = E(X) + E(Y) = 1.7 + 1.05 = 2.75 times
Var(T) = Var(X) + Var(Y) = 0.822 + 0.42 2 = 0.8488
σ(T) = √0.8488 = 0.9213 times

13.
(a) E(X) = 1(0.02) + 2(0.19) + 3(0.34) + 4(0.35) + 5(0.07) + 6(0.02) + 7(0.01) = 3.36 days
Var(X) = 12(0.02) + 22 (0.19) + 32 (0.34) + 42 (0.35) + 52 (0.07) + 62 (0.02) + 72 (0.01) - 3.362
= 1.1104
σ(X) = 1.0538 days
(b) Use T to denote the total number of visits to the two theme parks
T=X+Y
E(T) = E(X) + E(Y) = 3.36 + 3.67 = 7.03 days
Var(T) = Var(X) + Var(Y) = 1.1104 + 1.282 = 2.7488
σ(T) = 1.6580 days

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14.
(a) As total probability = 1,
0.1 + k + 3k + 4k + k + k = 1, k = 0.09
(b) E(X) = 3(0.1) + 4(0.09) + 5(0.27) + 6(0.36) + 7(0.09) + 8(0.09) = 5.52 jobs
Var(X) = 32(0.1) + 42(0.09) + 52(0.27) + 62(0.36) + 72(0.09) + 82(0.09) - 5.522 = 1.7496
(X) = √1.7496 = 1.3227 jobs
(c) P(at least $15000 commission) = P(X ≥ 6) = 6k = 0.54
(d) Let Y be the monthly commission, Y = 2500X
E(Y) = 2500E(X) = $13800
(Y) = 2500(X) = $3306.75
(e) With Y as the monthly commission from the advertising firm, W as the monthly earning from
the design school, and T as the total monthly income
T=Y+W
E(T) = E(Y) + E(W) = 13800 + 18000 = $31800
Var(T) = Var(Y) + Var(W) = 3306.752 + 55002 = 41184595.56
(T) = √41184595.56 = $6417.52

15.
(a) Use X to denote the number of referred cases in a week
Tim provides consultation to four new students in a week and the chance to refer a case is 0.3,
n = 4, p = 0.3, X ~ Bin(4, 0.3)
(b) With p(x) = 4Cx(0.3)x(0.7)(4-x), for x = 0, 1, 2, 3, 4

x 0 1 2 3 4
p(x) 0.2401 0.4116 0.2646 0.0756 0.0081

(c) Most likely, 1 case will be referred to the senior social worker in a week, with probability =
0.4116
(d) E(X) = 0(0.2401) + 1(0.4116) + 2(0.2646) + 3(0.0756) + 4(0.0081) = 1.2 cases
Var(X) = 02(0.2401) + 12(0.4116) + 22(0.2646) + 32(0.0756) + 42(0.0081) – 1.22 = 0.84
(X) = √0.84 = 0.9165 cases

Another way to find the expectation and standard deviation for Binomial variable is
E(X) = np = 4(0.3) = 1.2 cases
Var(X) = np(1-p) = 4(0.3)(0.7) = 0.84
(X) = √np(1 − p) = √4(0.3)(0.7) = 0.9165 cases

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16.
(a) X be the number of customers in the line would choose type A coffee
There are 12 customers in the line and the chance for each customer to choose type A coffee is
0.75,
n = 12, p = 0.75 , X ~ Bin(12, 0.75).
(b) E(X) = 12(0.75) = 9 customers,
(c) With E(X) = 9, most likely nine customers among 12 would choose type A coffee.
(d) P(X = 7) = 12C7(0.75)7(0.25)5 = 0.1032
P(X = 8) = 12C8(0.75)8(0.25)4 = 0.1936
P(X = 9) = 12C9(0.75)9(0.25)3 = 0.2581
P(X = 10) = 12C10(0.75)10(0.25)2 = 0.2323
P(X = 11) = 12C11(0.75)11(0.25)1 = 0.1267

17.
(a) The variable is the number of habitual smokers in the sample.
Let X bet the number of habitual smokers. There are 20 teenagers and the chance for each one
to be a habitual smoker is 0.1, X ~ Bin(20, 0.1)
P(X = 5) = 20C5(0.1)5(0.9)15 = 0.0319
(b) 18 non-habitual smokers = 20 – 18 = 2 habitual smokers
P(X = 2) = 20C2(0.1)2(0.9)18 = 0.2852
(c) P(X ≥ 3) = 1– P(X = 0) – P(X = 1) – P(X = 2)
= 1 – (0.9)20 – 20C1(0.1)1(0.9)19 – 20C2(0.1)2(0.9)18 = 0.3231

18
(a) The variable is the number of defective light bulb in the sample
Let X be the number of defective light bulb. There are 20 light bulbs and the chance for each
light bulb to be defective is 0.03, X ~ Bin(20, 0.03)
E(X) = np = 20(0.03) = 0.6 defective light bulb
With E(X) = 0.6 is not an integer, we compare P(X = 0) and P(X = 1) to find out the mode.
P(X = 0) = (0.97)20 = 0.5438
P(X = 1) = 20C1(0.03)1(0.97)19 = 0.3364
As P(X = 0) > P(X = 1), most likely, there is no defective light bulb in the sample.
(b) P(X = 2) = 20C2(0.03)2(0.97)18 = 0.0988
(c) P(X  3) = 1 – P(X = 0) – P(X = 1) – P(X = 2)
= 1 – (0.97)20 - 20C1(0.03)1(0.97)19 - 20C2(0.03)2(0.97)18 = 0.0210

17
 AS 2021-22

19.
(a) The variable is the number of visitors can get a souvenir.
Let X be the number of visitors can get a souvenir. There are 25 visitors in a day would play
the lucky draw and the chance for each visitor to get a souvenir is 0.7, X ~ Bin(25, 0.7)
E(X) = 25(0.7) = 17.5 visitors
σ(X) = √25(0.7)(1 − 0.7) = 2.2913 visitors
(b) With E(X) = 17.5 is not an integer, we compare P(X = 17) and P(X = 18) to find out the mode.
P(X = 17) = 25C17(0.7)17(0.3)8 = 0.1651
P(X = 18) = 25C18(0.7)18(0.3)7 = 0.1712
As P(X = 17) < P(X = 18), most likely, 18 visitors can get a souvenir in a day.
(c) P(X > 22) = p(23) + p(24) + p(25) = 25C23(0.7)23(0.3)2 + 25C24(0.7)24(0.3)1 + (0.7)25
= 0.0090

20. The variable is the number of presents she will get.

Let X be the number of presents she will get. There are 3 rounds of lucky draw and the chance
for each round she will get a present is 0.15, X ~ Bin(3, 0.15)
(a)
x 0 1 2 3
P(X = x) (i) 0.6141 (ii) 0.3251 (iii) 0.0574 (iv) 0.0034

(i) P(X = 0) = 0.853 = 0.6141

(ii) P(X = 1) = 3C1(0.15)1(0.85)2 = 0.3251
(iii) P(X = 2) = 3C2(0.15)2(0.85)1 = 0.0574
(iv) P(X = 3) = (0.15)3 = 0.0034
(b) E(X) = 3(0.15) = 0.45
for Y be the value of all presents she will get, Y = 40X,
E(Y) = 40E(X) = $18

18
 AS 2021-22

21. Let Y be the number of patients who can recover within one week, Y ~ Bin(22, 0.65).
(a) E(Y) = 22(0.65) = 14.3 patients
P(Y = 14) = 22C14 (0.65)14 (0.35)8 = 0.1730
P(Y = 15) = 22C15 (0.65)15 (0.35)7 = 0.1714
With E(Y) = 14.3, mostly likely there will be about 14 or 15 patients can recover within one
week. According to the above calculation, most likely, there will be 14 patients can recover
within one week, which probability is 0.1730.
(b) P(at most 20 recover) = P(Y ≤ 20) = 1 – P(Y = 21) – P(Y = 22)
= 1 – 22C21 (0.65)21 (0.35)1 – 22C22 (0.65)22 (0.35)0 = 0.9990
(c) Use W to denote the total allowance. With Y as the number of affected residents recover
within one week, there are the other (22 – Y) residents take more than one week to recover.
So that, W = 800Y + 1200(22 – Y) = 26400 – 400Y
E(W) = 26400 – 400E(Y) = 26400 – 400(14.3) = $20680

22.
(a) Use X to denote the number of graduates going to UK in a briefing session. With there are 15
graduates and the chance of each of them to go UK is 0.7, X ~ Bin(15, 0.7)
E(X) = 15(0.7) = 10.5 persons
σ(X) = √15(0.7)(0.3) = 1.7748 persons
(b) With E(X) = 10.5, Most likely, there would be 10 or 11 persons going to UK.
P(X = 10) = 15C10(0.7)10(0.3)5 = 0.2061
P(X = 11) = 15C11(0.7)11(0.3)4 = 0.2186
So, most likely 11 graduates in a briefing session will go to UK, with probability 0.2186.
(c) P(at least one graduate going to USA and at least one graduate going to UK)
= P(1 ≤ X ≤ 14)
= 1 – P(X = 0) – P(X = 15)
= 1 – (0.3)15 – (0.7)15 = 0.9953
(d) Use Y to denote the service charge collected in a briefing session.
With X as the number of graduates would go to UK and the service charge for each of them is
$2200, the other (15 - X) graduates would go to USA and the service charge for each of them is
$1800,
Y = 2200X + 1800(15 – X) = 27000 + 400X
E(Y) = 27000 + 400E(X) = 27000 + 400(10.5) = $31200
σ(Y) = 400σ(X) = 400(1.7748) = $709.92

19
 AS 2021-22

23.
(a) The variable is the number of customers who will order breakfast B. There are 6 customers
and the probability for each customer ordering breakfast B is 1 – 0.8 = 0.2.
n = 6, p = 0.2
(b) With E(X) = np = 6(0.2) = 1.2, most likely there is 1 or 2 customers will order breakfast B
P(X = 1) = 6C1 (0.2)1 (0.8)5 = 0.3932
P(X = 2) = 6C2 (0.2)2 (0.8)4 = 0.2458
So, most likely, there will be 1 customer ordering breakfast B. This probability is 0.3932.
(c) P(X ≥ 2) = 1 – P(X = 0) – P(X = 1) = 1 – (0.8)6 - 6C1(0.2)1 (0.8)5 = 0.3446
(d) With X be the number of customers ordering breakfast B, (6 – X) would be the number of
customers ordering breakfast A. Use W to denote the revenue, W = 45(6 – X) + 38X,
W = 270 – 7X
E(W) = 270 – 7E(X) = 270 – 7(1.2) = $261.6
σ(W) = 7σ(X) = 7√6(0.2)(0.8) = $6.8586

20
 AS 2021-22

Chapter 5 – Normal Distribution

1.
(a) 0.4772
(b) P(Z < 0) + P(0 < Z < 1.86) = 0.5 + 0.4685 = 0.9685
(c) 0.0948
(d) P(-0.24 < Z < 0) + P(0 < Z < 2.40) = 0.0948 + 0.4918 = 0.5866
(e) P(-1.79 < Z < 0) – P(-1.30 < Z < 0) = 0.4633 – 0.4032 = 0.0601
(f) P(Z < 0) – P(-1.58 < Z < 0) = 0.5 – 0.4429 = 0.0571

2.
(a) 0.92
(b) 0.39 as P(0 < Z < 0.39) ~ 0.15 from table
(c) -0.93 as P(-0.93 < Z < 0) ~ 0.325 from table
(d) -1.04 as P(-1.04 < Z < 0) ~ 0.35 from table
(e) 0.39 as P(0 < Z < 0.39) ~ 0.15 from table
(f) 0.61 as P(0 < Z < 0.61) ~ 0.2284 from table

3. Let X be the length of waiting time a patient waits in Dr. Chan’s waiting room. ( )
X ~ N 14,42 .
 20 − 14 
(a) P( X  20) = P Z   = P(Z  1.5) = 0.5 − 0.4332 = 0.0668
 4 
10−14
(b) P(X > 10) = P(Z > ) = P(Z > -1) = 0.5 + 0.3413 = 0.8413
4

X ~ N 1200, 9800  .
2
4. Let X be the total weight of eight people.
 

(a) P( X  1300) = P(Z  1.01) = 0.5 − 0.3438 = 0.1562

(b) P( X  1500) = P(Z  3.03) = 0.5 − 0.4988 = 0.0012

21
 AS 2021-22

5. Let X be the number of minutes a flight being delay, X ~ N(0, 102)

(a) For a flight arrives before 18:00, that means X < -10,
−10−0
P(X < -10) = P(Z < 10
) = P(Z < -1) = 0.5 – 0.3413 = 0.1587

(b) For the passenger to be late, that means X > 20

20−0
P(X > 20) = P(Z > ) = P(Z > 2) = 0.5 – 0.4772 = 0.0228
10

6. Let X be the score, X ~ N(66.5, 12.62)

78-66.5
(a) P(X > 78) = P(Z > ) = P(Z > 0.91) = 0.5 – 0.3186 = 0.1814 = 18.14%
12.6
(b) Let k be the minimum score to get A,
P(X > k) = 0.117
P(66.5 < X < k) = 0.5 – 0.117 = 0.383
As P(0 < Z < 1.19) = 0.383 from table
𝑘−66.5
= 1.19
12.6

k = 66.5 + 12.6(1.19) = 81.49 marks

7. Let X be the amount of a customer spending on a single visit to Park & Save supermarkets and K
(
be the minimum amount for which credit card may be used. X ~ N 75,212 . )
P(X > K) = 0.8
P(K < X < 75) = 0.8 – 0.5 = 0.3
As P(-0.84 < Z < 0) = 0.3 from table
𝐾 − 75
= −0.84
21
K = 75 + (-0.84)(21) = 57.36

22
 AS 2021-22

8. X ~ N(5200, 7402)
P(5200 - k < X < 5200 + k) = 0.95
0.95
P(5200 < X < 5200 +k) = 2
= 0.475

As P(0 < Z < 1.96) = 0.475 from table

5200+𝑘−5200
740
= 1.96

k = 1.96(740) = 1450.4

9. Let X be the spending of an online order, X ~ N(360, 802)

(a) P(X < 428) = P(Z < 0.85) = 0.5 + 0.3023 = 0.8023
(b) P(360 - M < X < 360 + M) = 0.85
0.85
P(360 < X < 360 + M) = = 0.425
2

As P(0 < Z < 1.44) = 0.425 from table

360+𝑀−360
= 1.44
80

M = 1.44(80) = 115.2

10. Let X (in minutes) be the journey time on a ride, X ~ N(30, 52)
20−30
(a) P(X > 20) = P(Z > ) = P(Z > -2) = 0.5 + 0.4772 = 0.9772
5

(b) P(X < k) = 0.937

P(30 < X < k) = 0.937 – 0.5 = 0.437
As P(0 < Z < 1.53) = 0.437 from table
𝑘−30
5
= 1.53,

k = 30 + 1.53(5) = 37.65

23
 AS 2021-22

11. Let X be the monthly salary of an employee, X ~ N(12000, 1000 2 )

Let Y be the monthly salary of an employee after the salary adjustment.
With Y = (1.05)X
(a) Mean of Y = 1.05(12000) = $12600
Standard deviation of Y = 1.05(1000) = $1050
(b) P(Y < k) = 0.15
P(k < Y < 12600) = 0.5 – 0.15 = 0.35
As P(-1.04 < Z < 0) = 0.35 (from table)
𝒌−𝟏𝟐𝟔𝟎𝟎
𝟏𝟎𝟓𝟎
= -1.04

k = 12600 - (1.04)(1050) = 11508

12. Let X be the monthly revenue of the café, X ~ N(45000, 80002)

35000−45000 41800−45000
(a) P(35000 < X < 41800) = P( <Z< ) = P(-1.25 < Z < -0.4)
8000 8000

= 0.3944 – 0.1554 = 0.239

(b) P(X < K) = 0.67,
P(45000 < X < K) = 0.67 – 0.5 = 0.17,
As P(0 < Z < 0.44) = 0.17 (from table)
𝐾−45000
= 0.44,
8000

K = 48520
(c) Use M to denote May’s monthly salary, M = 7000 + 0.3X
E(M) = 7000 + (0.3)E(X) = 20500
Var(M) = 0.32 Var(X) = 5760000
17000−20500
(d) P(M < 17000) = P(Z < ) = P(Z < -1.46) = 0.5 – 0.4279 = 0.0721
√5760000

24
 AS 2021-22

13. Let X be the delivery cost of a small package, X ~ N(60, 122)

40−60
(a) P(X ≥ 40) = P(Z > ) = P(Z > -1.67) = 0.5 + 0.4525 = 0.9525
12

(b) P(X > M) = 0.879

P(M < X < 60) = 0.879 – 0.5 = 0.379
P(-1.17 < Z < 0) = 0.379 from table
M = 60 + 12(-1.17) = 45.96
(c) Y = 200 + 1.8X
Mean of Y = 200 + 1.8(60) = $308
Standard deviation of Y = 1.8(12) = $21.6
(d) P(A package will be charged more by the new system)
350−308
= P(Y < 350) = P(Z < ) = P(Z < 1.94) = 0.5 + 0.4738 = 0.9738
21.6

14. Let X be the monthly salary, X ~ N(15000, 5002)

16000−15000
(a) P(X > 16000) = 𝑃 (𝑍 > ) = P(Z > 2) = 0.5 - 0.4772 = 0.0228
500

(b) P(X < t) = 0.85

P(15000 < X < t) = 0.85 – 0.5 = 0.35
P(0 < Z < 1.04) = 0.35 (from table)
𝑡−15000
= 1.04
500

t = 15520
(c) Let M be the adjusted salary, M = 1.1X
E(M) = (1.1)E(X) = 16500
ơ(M) = (1.1) ơ(X) = 550
17000−16500
(d) P(M > 17000) = 𝑃 (𝑍 > 550
) = P(Z > 0.91) = 0.5 - 0.3186 = 0.1814

So the statement is incorrect.

25
 AS 2021-22

15. Use X to denote the budget a customer would be willing to spend on a 5 days tour to Korea,
X ~ N(8000, 12002)
7000−8000
(a) P(X ≥ 7000) = P (𝑍 ≥ )= P(Z ≥ -0.83) = 0.5 + 0.2967 = 0.7967
1200

(b) P(X ≥ K) = 0.85

P(K < X < 8000) = 0.85 – 0.5 = 0.35
P(-1.04 < Z < 0) = 0.35 from table
K−8000
1200
= -1.04, K = 6752

(c) Use Y to denote the budget a customer would be willing to spend on a 5 days tour to Japan,
Y = 1.2X
E(Y) = 1.2(8000) = $9,600
σ(Y) = 1.2(1200) = $1440
(d) P(L1 < Y < L2) = 0.92
0.92
P(L1 < Y < 9600) = = 0.46 = P(9600 < Y < L2)
2

P(-1.75 < Z < 0) = 0.46 = P(0 < Z < 1.75) from table
L1 = 9600 – 1.75(1440) = 7,080
L2 = 9600 + 1.75(1440) = 12,120

16. Use X to denote the monthly income earned by selling wallet, Y to denote the monthly income
earned by selling earring, T to denote the total monthly income.
T=X+Y
(a) E(T) = E(X) + E(Y) = 20000 + 15000 = $35000
Var(T) = Var(X) + Var(Y) = 50002 + 33002 = 35890000
σ(T) = √35890000 = $5990.83
30000−35000
(b) P(T < 30000) = P(Z < 5990.83
) = P(Z < -0.83) = 0.5 – 0.2967 = 0.2033

With the probability of earning less than $30000 in a month is 0.2033, which is less than 0.3,
May should not quit the business.

26
 AS 2021-22

17. Let X be the lifetime of a battery, X ~ N(5400, 402)

Let 𝑇 be the total lifetime of 2 batteries,
T = X1 + X2, T ~ N(5400 + 5400, 402 + 402)
(a) Mean of T = 10800 hours
Standard deviation of T = √𝟒𝟎𝟐 + 𝟒𝟎𝟐 = 56.5685 hours
𝟏𝟎𝟗𝟎𝟎−𝟏𝟎𝟖𝟎𝟎
(b) P(T < 10900) = P(Z < 𝟓𝟔.𝟓𝟔𝟖𝟓
) = P(Z < 1.77) = 0.5 + 0.4616 = 0.9616

18. Let X be the waiting time and Y be the treatment time,

X ~ N(10, 42)
Y ~ N(55, 52)
5−10
(a) P(X < 5) = P(Z < 4
) = P(Z < -1.25) = 0.5 – 0.3944 = 0.1056

(b) T = X + Y,
2
T ~ N(10 + 55, 42 + 52) , T ~ N(65, 41) i.e. T ~ N(65, √41 )

60−65
(c) P(T < 60) = P(Z < ) = P(Z < -0.78) = 0.5 - 0.2823 = 0.2177
√41

19. Use X to denote time he spends on collecting post and Y to denote time he spends on delivering
post,
X ~ N(40, 122)
Y ~ N(65, 82)
Let T be the total time he spends on two jobs,
2
E(T) = 40 + 65, Var(T) = 122 + 82 = 208, i.e. T ~ N(105, √208 )

120−105
(a) P(T < 120) = P (Z < ) = P(Z < 1.04) = 0.5 + 0.3508 = 0.8508
√208

(b) P(T > M) = 0.1

P(105 < T < M) = 0.5 – 0.1 = 0.4
As P(0 < Z < 1.28) = 0.4 from table
M = 105 + 1.28(√208) = 123.46

27
 AS 2021-22

20. Use X to denote the total traveling time, X ~ N(15, 22)

(a) P(X > 12) = P( Z > -1.5) = 0.5 + 0.4332 = 0.9332
(b) P(X < k) = 0.625
P(15 < X < k) = 0.625 – 0.5 = 0.125
With P(0 < Z < 0.32) = 0.125 from table
k = 15 + 2 (0.32) = 15.64
(c) E(T) = 15 + 22 = 37 minutes
Var (T) = 22 + 52 = 29
𝜎(T) = √29 = 5.3852 minutes
35−37
(d) P(T > 35) = P (Z > ) P(Z > -0.37) = 0.1443 + 0.5 = 0.6443
√29

21. Let T be the weight of a special set, T~N(85 + 85, 49 + 49); T ~ N(170, 98)
(a) expectation = 85 + 85 = 170 grams
median = expectation = 170 grams
standard deviation = √49 + 49 = 9.8995
160−170
(b) 𝑃(𝑇 < 160) = 𝑃 (𝑍 < ) = 𝑃(𝑍 < −1.01) = 0.5 − 0.3438 = 0.1562
√98

28
 AS 2021-22

Chapter 6 – Sampling Distribution and Central Limit Theorem

42
1. For X ~ N(60, 42), X ~ N(60, 𝑛
)

(a) Mean of sample mean E(𝑋̅) = 60

4
Standard error of sample mean SE(𝑋̅) = =1.7889
√5

(b) Mean of sample mean E(𝑋̅) = 60

4
Standard error of sample mean SE(𝑋̅) = =1.2649
√10

(c) Mean of sample mean E(𝑋̅) = 60

4
Standard error of sample mean SE(𝑋̅) = =1.0328
√15

2. Let X be the weight of a can of soup and X be the sample mean weight of 6 cans of soup
As  = 375, (X) = 4, and n = 6, then
(a) Mean of sample mean E(𝑋̅) = 375 grams
4
(b) Standard error of sample mean SE(𝑋̅) = = 1.6330 grams
√6

3. Let X be the weight of a luggage, X ~ N(24, 52),

52
For n = 5, the average weight of 5 luggage, X ~ N(24, 5 )

(a) expectation = 24 kg,

5
(b) standard error = = 2.2361 kg
√5

4. Let X be the lifetime, X ~ N(8200, 502 )

502
For n = 40, the average lifetime of 40 batteries, X ~ N(8200, )
40

(a) expectation = 8200 hours,

50
(b) standard error = = 7.9057 hours
√40

29
 AS 2021-22

5. Let p be the population proportion of defective item, p = 0.09,

0.09(0.91)
For n = 80, 𝑝̂ ~ 𝑁(0.09, )
80

(a) expectation E(𝑝̂ ) = 0.09

0.09(0.91)
(b) standard error SE(𝑝̂ ) = √ = 0.0320
80

6. Let p be the proportion of left-handed resident, p = 0.2

0.2(0.8)
For n = 75, 𝑝̂ ~ 𝑁 (0.2, )
75

(a) expectation E(𝑝̂ ) = 0.2

0.2(0.8)
(b) standard error SE(𝑝̂ ) = √ = 0.0462
75

7. Let p be the proportion of customers would not pay the bill by monthly instalment if the credit
amount is less than $10,000, p = 0.7
0.7(0.3)
For n = 40, 𝑝̂ ~ 𝑁 (0.7, )
40

(a) expectation of sample proportions E(𝑝̂ ) = 0.7

0.7  0.3
(b) standard error of sample proportions SE(𝑝̂ ) = =0.0725
40

8. Let p be the proportion of passengers refuse the invitation, p = 0.87

0.87(0.13)
For n = 350, 𝑝̂ ~ N(0.87, 350
)

(a) expectation E(𝑝̂ ) = 0.87

0.87  0.13
(b) standard error SE(𝑝̂ ) = =0.01798
350

30
 AS 2021-22

Chapter 7 – Estimation

1. For the estimation of the population mean amount spent for textbook
Given  = 35, n = 75, 𝑥̅ = $158.3, z0.05 = 1.645
(a) point estimate: $158.30
35
(b) Sampling error at 90% confidence level = 1.645× = $6.6482
√75

35 35
(c) 90% C.I. = (158.3 − 1.645 × , 158.3 + 1.645 × ) = $(151.6518, 164.9482)
√75 √75

2. For the estimation of the population mean lifetime of a light bulb

Given  = 100, n = 80, 𝑥̅ = 3500 hours, z0.025 = 1.96
(a) Point estimate: 3500 hours
100
(b) Sampling error at 95% confidence level = 1.96× = 21.9135 hours
√80

100 100
(c) 95% C.I. = (3500 − 1.96 × , 3500 + 1.96 × ) = (3478.0865, 3521.9135) hours
√80 √80

3. For the estimation of the population mean amount of paint in a one-gallon can
Given  = 0.02, n = 50, 𝑥̅ = 0.995 gallon, z0.005 = 2.575
Point estimate: 0.995 gallon
0.02
Sampling error at 99% confidence level = 2.575× = 0.0073 gallon
√50

0.02 0.02
99% C.I. = (0.995 − 2.575 × , 0.995 + 2.575 × ) = (0.9877, 1.0023) gallon
√50 √50

4. For the estimation of the population mean time required for one seminar
Given 𝑥̅ = 75, 𝜎 = 10, 𝑛 = 40, 𝑧0.025 = 1.96
point estimate = 75 minutes
10
sampling error at 95% confidence level = 1.96 = 3.099 minutes
√40

95% C.I. for μ = (75 - 3.099, 75 + 3.099) = (71.901, 78.099) minutes

31
 AS 2021-22

5. For the estimation of the population mean spending

Given 𝜎 = 5500, 𝑛 = 25, 𝑧0.01 = 2.33
5500
(a) 98% sampling error = 2.33× = $2563
√25

(b) With 𝑥̅ = $51000 (from calculator)

98% C.I. = (51000 − 2563, 51000 + 2563) = $(48437, 53563)

6.
83+58+⋯+108
(a) 𝑥̅ = = 75.6923 hours
13

(83−75.6923)2 + (58−75.6923)2 +⋯+(108−75.6923)2

s= √ = 14.5395 hours
13−1

(b) For the estimation of the population mean monthly working hours of part-time worker
𝑥̅ = 75.6923, s = 14.5395, n = 13, t(12, 0.025) = 2.179,
14.5395 14.5395
95% C.I. = (75.6923 − 2.179 × , 75.6923 + 2.179 × )
√13 √13

= (66.9054, 84.4792) hours

7. For the estimation of the population mean number of hours of television watched per week
82+66+⋯+91
𝑥̅ = = 86 hours
10

(82−86)2 + (66−86)2 +⋯+(91−86)2

s= √ 10−1
= 11.8415 hours

n = 10, t(9, 0.05) = 1.833

11.8415 11.8415
90% C.I. = (86 − 1.833 × , 86 + 1.833 × ) = (79.1358, 92.8642) hours
√10 √10

8. For the estimation of the population mean weight of a new born baby
Given 𝑥̅ = 6.87 lb, s = 1.76 lb, n = 20, t(19, 0.025) = 2.093
1.76 1.76
95% C.I. = (6.87 − 2.093 × , 6.87 + 2.093 × ) = (6.0463, 7.6937) lb
√20 √20

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 AS 2021-22

9. For the estimation of the population mean value of a greeting card

Given 𝑥̅ = 16.7, s = 3.2, n = 40, t(39, 0.025) = 1.96
3.2 3.2
95% C.I. = (16.7 − 1.96 × , 16.7 + 1.96 × ) = $(15.7083, 17.6917)
√40 √40

10. For the estimation of the population mean length of a movie

𝑥̅ = 71 + 91 +    + 69 = 78.4167 minutes
12
Given that 𝜎 = 8, n = 12, z 0.025 = 1.96
8 8
95% C.I. for μ = (78.4167 – 1.96× , 78.4167 +1.96× )
√12 √12

= (73.8903,82.9431) minutes

11. For the estimation of the population mean weight of cola in a bottle,
with 𝑥̅ = 16.0308, s = 0.0880, n = 25, t(24, 0.01) = 2.492
0.0880 0.0880
98% CI = (16.0308 − 2.492 × , 16.0308 + 2.492 × )
√25 √25

= (15.9869, 16.0766) grams

(b) About 300(0.98) = 294 intervals

can successfully cover the population mean.

12. For the estimation of the population proportion of people driving Benz in the building
17
(a) point estimate of p = 200
= 0.085

0.085(0.915)
(b) sampling error at 90% confidence level = 1.645√ = 0.0324
200

0.085(0.915) 0.085(0.915)
(c) 90% C.I. of p = (0.085 − 1.645√ , 0.085 + 1.645√ )
200 200

= (0.0526, 0.1174)

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 AS 2021-22

13. For the estimation of the population proportion of people driving Benz in the building
290
(a) point estimate of p = = 0.7632
380

0.7632(0.2368)
(b) sampling error at 95% confidence level = 1.96√ 380
= 0.0427

0.7632(0.2368) 0.7632(0.2368)
(c) 95% C.I. of p = (0.7632 − 1.96√ 380
, 0.7632 + 1.96√ 380
)

= (0.7205, 0.8059)

14. For the estimation of the population proportion of residents supporting Mike as the next
president
22
n = 60, 𝑝̂ = 60 = 0.3667, z0.05 = 1.645

0.3667(0.6333) 0.3667(0.6333)
90% C.I. of p = (0.3667 − 1.645√ , 0.3667 + 1.645√ )
60 60

= (0.2644, 0.4690)

15.
(a) For the estimation of the population mean weight of a melon
n = 120, 𝑥̅ = 4, 𝜎 = 0.9, z0.025 = 1.96,
0.9 0.9
95% CI for μ = (4 − 1.96 , 4 + 1.96 ) = (3.8390, 4.1610) kg
√120 √120

(b) For the estimation of the population proportion of melons which weigh heavier than 4.2 kg
30
n = 200, 𝑝̂ = 200
= 0.15, z0.05 = 1.645

0.15(0.85) 0.15(0.85)
90% CI for p = (0.15 − 1.645√ 200
, 0.15 + 1.645√ 200
) = (0.1085, 0.1915)

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 AS 2021-22

16.
(a) For the estimation of the population proportion of customers who are satisfied with the service
168
p̂ = = 0.56, n = 300, z0.01 = 2.33
300
0.56  (1 − 0.56 ) 0.56  (1 − 0.56 )
98% C.I. for p = (0.56 − 2.33  , 0.56 + 2.33  )
300 300
= (0.4932, 0.6268)
(b) For the estimation of the population mean spending on one visit to the shop
𝑥̅ = 820, s = 165, n = 300, d.f.= 299, t(299, 0.01)= 2.326
165 165
98% C.I. for μ = (820 – 2.326× , 820 + 2.326× ) = $ (797.84, 842.16)
√300 √300

17.
(ai) For the estimation of population mean score
𝑥̅ = 116.9, s = 21.6972, n = 10, d.f. = 10 – 1 = 9, t(9, 0.025) = 2.262
21.6972 21.6972
95% CI for μ = (116.9 − 2.262 , 116.9 + 2.262 )
√10 √10

= (101.3798, 132.4202)
(aii) 200(95%) = 190
(b) For the estimation of population proportion of participants enjoy the game.
360
p̂ = = 0.72, n = 500, z0.05= 1.645
500

0.72(0.28) 0.72(0.28)
90% CI for p = (0.72 − 1.645√ , 0.72 + 1.645√ )
500 500

= (0.6870, 0.7530)

18.
(a) For the estimation of population average monthly spending with credit card
𝑥̅ = 4600, s = 1400, n = 45, d.f. = 45 – 1 = 44, t(44, 0.025) = 1.96
1400 1400
95% C.I. for μ = (4600 – 1.96 , 4600 + 1.96 ) = $ (4190.95, 5009.05)
√45 √45

(b) For the estimation of population proportion of students always pay the full payment before
deadline
30
p̂ = = 0.6667, n = 45, z0.05= 1.645
45

0.6667×0.3333 0.6667×0.3333
90% C.I. for p = (0.6667 − 1.645√ 45
, 0.6667 + 1.645√ 45
)

= (0.5511, 0.7823)

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 AS 2021-22

Chapter 8 – Hypothesis Testing

1. For the test of the population mean weight of a package is less than 36.7lb
(i) H0:  = 36.7, H1:  < 36.7
(ii) With σ is given as 14.2, z-test should be used.
Reject H0 when z < -1.645 (z0.05 = 1.645)
(iii) x = 32.1, σ = 14.2, n = 64
32.1 − 36.7
z= = −2.59
14.2 / 64
(iv) As –2.59 < -1.645 (z0.05 = 1.645), H0 is rejected.
Conclusion: There is sufficient evidence to conclude that the weights of packages are less than
in the past.

2. For the test of the population mean breaking strength is different from 70 pounds
(i) H0:  = 70, H1:  ≠ 70
(ii) With σ is given as 3.5, z-test should be used
Reject H0 when z < -1.96 or z > 1.96 (z0.025 = 1.96)
(iii) x = 69.1, σ = 3.5, n = 49
69.1 − 70
z= = −1.8
3.5 / 49
(iv) As -1.96 < -1.8 < 1.96, H0 is not rejected.
Conclusion: There is no evidence to say the mean breaking strength is different from 70 pounds.

3. For the test of the population mean amount of salad dressing is different 8 ounces
(i) H0:  = 8, H1:  ≠ 8
(ii) With σ is given as 0.15, z-test should be used
Reject H0 when z < -1.645 or z > 1.645 (z0.05 = 1.645)
(iii) x = 7.983, σ = 0.15, n = 50
7.983 − 8
z= = −0.8014
0.15 / 50
(iv) As –1.645 < -0.8014 < 1.645, H0 is not rejected.
Conclusion: There is no evidence to say the average amount is different from 8 ounces.

36
 AS 2021-22

4. For the test of the population mean withdrawal is more than $1600
(i) H0:  = 1600, H1:  >1600
(ii) With σ is given as 300, z-test should be used
Reject H0 when z > 1.645 (z0.05 = 1.645)
(iii) x = 1680, σ = 300, n = 36
1680−1600
z= = 1.6
300/√36

(iv) As 1.6 < 1.645 (z0.05 = 1.645), H0 is not rejected.

Conclusion: There is no evidence to say that the average withdrawal is greater than the
expectation.

5. For the test of the population mean cost of textbooks is above $3000
(i) H0:  = 3000, H1:  > 3000
(ii) As σ is unknown, t-test should be used with d.f. = 100 – 1 = 99
Reject H0 when t > 1.645 (t0.05,  = 1.645)
(iii) x = 3154, s = 432, n = 100
3154−3000
t= = 3.5648
432/√100

(iv) As 3.5648 > 1.645, H0 is rejected at 5% significance level.

Conclusion: There is sufficient evidence to conclude the population mean is above $3000.

6. For the test of the population mean lifetime of a battery is different from 400 hours
(i) H0:  = 400, H1:  ≠ 400
(ii) As σ is unknown, t-test should be used with d.f. = 13- 1 = 12
Reject H0 when t < -2.179 or t > 2.179 (t(12, 0.025 = 2.179)
(iii) x = 473.4615, s = 210.7663, n = 13
473.4615 − 400
t= = 1.2567
210.7663/ 13
(iv) As –2.179 < 1.2567 < 2.179 (t(12, 0.025) = 2.179), H0 is not rejected.
Conclusion: There is no evidence to say that the average lifetime is different from 400 hours.

37
 AS 2021-22

7. For the test of the population mean weight of adult male is different from 160 lb
(i) H0:  = 160, H1:  ≠ 160
(ii) As σ is unknown, t-test should be used with d.f. = 16 – 1 = 15
Reject H0 when t < -2.131 or t > 2.131 (t(15, 0.025) = 2.131)
(iii) x = 160.25, s = 18.4878, n = 16
160.25 − 160
t= = 0.0541
18.4878/ 16
(iv) As –2.131 < 0.0541 < 2.131, H0 is not rejected.
Conclusion: There is no evidence to reject the null hypothesis.

8. For the test of the population mean daily spending on food per person in 2020 is higher than in
1990, which is $75, a z-test should be used (as the population standard deviation is given as
$15).
Define μ as the population mean daily spending on food per person in 2020.
(i) H0: μ = 75 v.s. H1: μ > 75
(ii) Reject H0 if z > 2.33 (z 0.01 = 2.33)
(iii) x = 84 (from calculator)
84−75
z= = 3.1749
15/√28

(iv) As z = 3.1749 > 2.33, H0 is rejected at 1% significance level.

There is sufficient evidence to conclude the population mean daily spending on food per
person in 2020 is higher than in 1990.

9. For the test of the population mean score of the test is different from 35 marks
(i) H0:  = 35, H1:  ≠ 35
(ii) As σ is unknown, t-test should be used with d.f. = 6 – 1 = 5
Reject H0 when t < -2.015 or t > 2.015 (t(5, 0.05) = 2.015)
(iii) x = 37, s = 4.8166, n = 6
37 − 35
t= = 1.0171
4.8166 / 6
(iv) As –2.015 < 1.0171 < 2.015, H0 is not rejected.
Conclusion: The assumption that the average score is 35 is reasonable.

38
 AS 2021-22

10. For the test of the population proportion of residents get more than seven hours of sleep per
night is more than 61%
Denote the proportion of residents get more than seven hours of sleep per night as p
(i) H0: p = 0.61, H1: p > 0.61
(ii) Reject H0 when z > 1.645 (z0.05 = 1.645)
235
(iii) 𝑝̂ = 350 = 0.6714, n = 350

0.6714 − 0.61
z= = 2.36
(0.61)(0.39) / 350

(iv) As 2.36 > 1.645 (z0.05 = 1.645), H0 is rejected.

Conclusion: There is strong evidence to conclude that more than 61% of us sleep more than
seven hours during weekend.

11. For the test of the population proportion of voters will vote the politician is more than 0.60
Denote the politician’s supportive rate as p
(i) H0: p = 0.6, H1: p > 0.6
(ii) Reject H0 when z > 1.645 (z0.05 = 1.645)
65
(iii) 𝑝̂ = = 0.65, n = 100
100

0.65−0.6
z= = 1.0206
0.6(0.4)
√
100

(iv) As 1.0206 < 1.645 (z0.05 = 1.645), H0 is not rejected.

Conclusion: There is no evidence to say that her supportive rate is more than 60%.

12. For the test of the population proportion of his party fellow oppose him is more than 0.25
Denote the judge’s opposing rate as p
(i) H0: p = 0.25, H1: p > 0.25
(ii) Reject H0 when z > 1.28 (z0.10 = 1.28)
217
(iii) 𝑝̂ = = 0.2713, n = 800
800

0.2713 − 0.25
z= = 1.3913
0.25(0.75) / 800

(iv) As 1.3913 > 1.28 (z0.10 = 1.28), H0 is rejected.

Conclusion: There is sufficient evidence that more than 25% of members against him and he
should give up the country judgeship and run for the state judgeship.

39
 AS 2021-22

13. For the test of the population proportion of home-based business is owned by women is less
than 0.5
Denote the population proportion of home-based business which is owned by women as p
(i) H0: p = 0.5, H1: p < 0.5
(ii) Reject H0 when z < -1.645 (z0.05 = 1.645)
369
(iii) 𝑝̂ = = 0.4105, n = 899
899

0.4105 − 0.5
z= = −5.367
0.5(0.5) / 899

(iv) As –5.367 < -1.645 (z0.05 = 1.645), H0 is rejected.

Conclusion: There is sufficient evidence to support that less that 50% of home-based business is
owned by women.

14. For the test of is there more than half of the applicants choose Gift A
Denote the population proportion of applicants choose Gift A as p
(i) H0: p = 0.5, H1: p > 0.5
(ii) Reject H0 when z > 2.33 (z0.01 = 2.33)
25
(iii) 𝑝̂ = = 0.625, n = 40
40

0.625−0.5
z= = 1.5811
0.5(0.5)
√
40

(iv) As 1.5811 < 2.33, H0 is not rejected.

Conclusion: There is no evidence to support that more than half of the applicants choose Gift A.

15. For the test of the wearing of the two brands of tire is different
Let D = brand B wearing amount – brand A wearing amount
d: 8, 1, 9, -1, 12, 9
(i) H0: D = 0 v.s. H1: D ≠ 0
(ii) Reject H0 when t < -2.5706 or t > 2.5706 (t(5, 0.025) = 2.5706)
(iii) d = 6.3333, s = 5.1251, n = 6
6.3333
t= = 3.0269
5.1251/ 6
(iv) As 3.0269 > 2.5706, H0 is rejected.
Conclusion: There is sufficient evidence to conclude that the wear of the two brands of tires are
different.

40
 AS 2021-22

16. For the test of a reduction in blood pressure after diet

Let D = blood pressure after diet – blood pressure before diet
d:-1, -4, 2, 0, -1, 1, 0, -5
(i) H0: D = 0 v.s. H1: D < 0
(ii) Reject H0 when t < -1.895 (t(7, 0.05) = 1.895)
(iii) d = −1 , s = 2.3905 , n = 8
−1
t= = −1.1832
2.3905 / 8
(iv) As -1.895 < -1.1832, H0 is not rejected.
Conclusion: There is no evidence to conclude the diastolic blood pressure is reduced after diet.

17. For the test of a reduction of weight after the program

Let D = weight after program – weight before program
d: 1, -5, 2, -7, -9, -9, 3, -1
(i) H0: D = 0 v.s. H1: D < 0
(ii) Reject H0 when t < -1.895 (t(7, 0.05) = 1.895)
(iii) 𝑑̅ = -3.125 , s = 4.9696, n = 8
−3.125
t= = -1.7786
4.9696/√8

(iv) As -1.7786 > -1.895, H0 is not rejected.

Conclusion: There is no evidence to conclude that the weight control program can effectively
reduce weight.

18. For the test of an increase in customers spending from 1 January to 1 March
Let D = average spending of a customer on 1 March – average spending of a customer on 1
January
d: 4, 8, 8, -7, 25, 3, -4, -20, 16
(i) H0: D = 0 v.s. H1: D > 0
(ii) Reject H0 when t > 2.896 (t(8, 0.01) =2.896)
(iii) 𝑑̅ = 3.6667 , s = 13.1244, n = 9
3.6667
t= = 0.8381
13.1244/√9

(iv) As 0.8381 < 2.896, H0 is not rejected.

Conclusion: There is no evidence to conclude that there is an increase in the average spending
of a customer from 1 January to 1 March.

41
 AS 2021-22

19. For the test of the new machine is better than the old machine, in terms of the higher average
breaking strength
(i) H0: μOLD – μNew = 0 v.s. H1: μOLD – μNew < 0
(ii) Reject H0 when z < -2.3263 (Critical value for one-tailed test, left tail)
(iii) z statistics is calculated as -5.2031
(iv) As -5.2031 < -2.3263, H0 is rejected.
Conclusion: The new machine is better than the old machine so the new machine should be
purchased.

20. For the test of the average surface hardness of material A and B are different
(i) H0: μA = μB v.s. H1: μA ≠ μB
(ii) z statistics is calculated as 2.9566
(iii) p-value = 0.0031
(iv) As 0.0031 < 0.05, H0 is rejected at 5% level of significance
Conclusion: There is sufficient evidence to say the hardness of the two materials is different.

21.
(a) In branch A, sample mean fat contents is 29.6769 grams. In branch B, sample mean fat
contents is 23.75 grams.
(b) For the test of the average fat contents of burgers in branch A and branch B are different:
H0: μA = μB
H1: μA ≠ μB
(i) p value = 0.0458
(j) There is sufficient evidence to say that the fat contents of burgers from the two branches are
different as p-value = 0.0458 < 0.05.

42
 AS 2021-22

22.
(a) sample mean weight gained by mice taking diet A = 10 grams
Sample mean weight gained by mice taking diet B = 18.2 grams
(b) For the test of the average weight gained by mice after taking the diet B is greater than that after
taking diet A
(i) H0: μA - μB = 0 v.s. H1: μA - μB < 0
(ii) Reject H0 when t < -2.5524 (One-tailed test, left tailed)
(iii) t statistics is calculated as -4.7203
(iv) As - 4.7203 < -2.552, H0 is rejected.
Conclusion: There is strong evidence to say that mean weight gained on diet B was greater than
the mean weight gained on diet A.

23.
(a) Sample mean score gained by employees aged below 40 is 55.875 marks.
Sample mean score gained by employees aged above 40 is 53.4 marks.
(b) For the test of whether the age of an employee had any effect on learning new computing skills,
we test if the average score obtained by employees aged below 40 is different from the
average score obtained by employees aged above 40
(i) H0: μ1 – μ2 = 0 v.s. H1: μ1 – μ2 ≠ 0
(ii) t statistics is calculated as 0.3577
(iii) p-value = 0.7253
(iv) Since p-value = 0.7253 > 0.05, H0 is not rejected at 5% significance level.
Conclusion: There is no evidence that age has any effect on learning computing skills.

43
 AS 2021-22

24.
(a) Sample proportion of defective item in salesman’s mobiles = 0.1
Sample proportion of defective item in competitor’s mobiles = 0.04
15+6
Pooled sample proportion of defective item = 150+150
= 0.07

(b) For the test of the defective rate of the salesman’s mobile phone is higher than its competitor
Denote the defective rate as p
(i) H0: psalesman - pcompetitor = 0 v.s. H1: psalesman - pcompetitor > 0
(ii) Reject H0 when z > 1.6449 (Critical value for one-tailed test, right tailed)
(iii) z statistics is calculated as 2.0365
(iv) As 2.0365 > 1.6449, H0 is rejected.
Conclusion: There is sufficient evidence to conclude the defective rate of salesperson’s mobile
phones is higher than that of the competitor.

25. For the test of the positive response rate of men and women are different
Denote the ratio of positive response as p
(i) H0: pmen - pwomen = 0 v.s. H1: pmen - pwomen ≠ 0
(ii) z statistics is calculated as 1.1329
(iii) p-value = 0.2572
(iv) As 0.2572 > 0.02, H0 is not rejected at 2% level of significance.
Conclusion: There is no evidence to conclude that there is difference in the proportion of men
and women responding positively.

26.
(a) Sample proportion of guests would likely to revisit Westwind Hotel is 0.7181
Sample proportion of guests would likely to revisit Goodview Hotel is 0.5878
(b) For the test of the revisit rate in Westwind is higher than that in Goodview
Denote the revisit rate as p
H0: pwestwind - pgoodview = 0
H1: pwestwind - pgoodview > 0
(c) p-value = 0.0013
(d) There is sufficient evidence to say that a greater proportion of guests at the Westwind are likely
to return than at the Goodview as p-value 0.0013 < 0.05

44
 AS 2021-22

Chapter 9 – Analysis of Variance

1.
(a)
Group Sample Mean
Mong Kok $ 70
Wan Chai $ 85
Tai Po $ 76
Combined $ 77

(b) To test if the average spending of the three districts are not all the same:
(i) H0: µMong Kok = µWan Chai = µTai Po
H1: not all μ are equal
(ii) Reject H0 when F > 4.2565
(iii) F is calculated as 15.7846
(iv) As F = 15.7846 > 4.2565, H0 is rejected
Conclusion: The mean price of pork from the three districts are concluded to be not all the
same.

2.
(a) To test if the differences in crunchiness between the four crisps are significant
(i) H0: µ1 = µ2 = µ3 = µ4
H1: not all μ are equal
(ii) F is calculated as 30.1832
(iii) p-value = 0.0000
(iv) As p-value = 0.0000 < 0.05, H0 is rejected at 5% level of significance.
Conclusion: Differences in crunchiness between the four crisps are significant.

(b)
Crisps Sample Mean
Crisp 1 12.6
Crisp 2 9.3
Crisp 3 12.975
Crisp 4 14.5667
Combined 11.7737

45
 AS 2021-22

3.
(a) To test the cognitive development of K1, K2, and K3 kids by using the finishing time as the
variable,
H0: µK1 = µK2 = µK3
H1: not all μ are equal
(b) p-value = 0.0450
(c) Cognitive development among K1, K2, and K3 kids are concluded as all the same as p-value =
0.0450 > 0.01, H0 is not rejected at 1% level of significance.

4.
(a) H0: µ1 = µ2 = µ3 = µ4 = µ5
H1: not all μ are equal
where µi is the average number of sales of package i, for i = 1, 2, 3, 4, 5
(b) critical value = 2.8661
(c) F statistics is calculated as 0.8412
(c) The effectiveness of the five different kinds of packaging is considered as all are the same as the
F-statistics = 0.8412 < 2.8661, H0 is not rejected.

46
 AS 2021-22

Chapter 10 – Chi Square Test

1. (i) H0: pink : white : blue = 3 : 2 : 5

H1: pink : white : blue ≠ 3 : 2 : 5
(ii) Reject H0 if χ2 > 9.21, (  2 (0.01, 2) = 9.21)
(iii)
Colour Pink White Blue
Observed frequency 24 14 62
Expected frequency 30 20 50

2
(24 − 30)2 (14 − 20)2 (62 − 50)2
𝜒 = + + = 5.88
30 20 50
(iv) χ2 = 5.88 < 9.21, H0 is not rejected.
Conclusion: The differences in the observed and expected frequencies are not significant at the
1% level.

2. (i) H0: ratio of Vanilla: Mango: Strawberry = 1 : 2 : 2

H1: ratio of Vanilla: Mango: Strawberry ≠ 1 : 2 : 2
(ii) Reject H0 when χ2 > 5.991 (  2 (0.05, 2) = 5.991)
(iii)

Favour Vanilla Mango Strawberry

Observed frequency 250 500 450
Expected frequency 240 480 480

(250 - 240)2 (500 - 480)2 (450 - 480)2

c = 2
+ + = 3.125 < 5.991( c 2,0.05
2
)
240 480 480
(iv) As χ2 = 3.125 < 5.991, H0 is not rejected.
Conclusion: There is no significant difference between the choices of ice-cream by customers in
the Hong Kong shop compared to the result from the previous study conducted in Italy.

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3. (i) H0 : Mary : John : Peter : May = 1 : 1 : 1 : 1

H1: Mary : John : Peter : May ≠ 1 : 1 : 1 : 1
(ii) Reject H0 if χ2 >7.81 (χ2 (0.05, 3)= 7.81)
(iii)
Candidate Mary John Peter May
Observed frequency 131 121 99 49
Expected frequency 100 100 100 100

2
(131 − 100)2 (121 − 100)2 (99 − 100)2 (49 − 100)2
𝜒 = + + + = 40.04
100 100 100 100
(iv) χ2 = 40.04 > 7.81, H0 is rejected.
Conclusion: There is sufficient evidence to conclude that the four candidates command different
levels of support.

4. (i) H0: “rejected products” : “imperfect but acceptable products” : “perfect products” = 1 : 1 : 8
H1: “rejected products” : “imperfect but acceptable products” : “perfect products”  1 : 1 : 8
(ii) Reject H0 when 2 > 2(0.05, 2) = 5.991
(iii)
Number of
Number of Number of
imperfect but
Vendor B rejected perfect Total
acceptable
shipments shipments
shipments
Observed frequency 7 18 65 90
Expected frequency 9 9 72 90
(7−9)2 (18−9)2 (65−72)2
2 = 9
+
9
+
72
=10.125

(iv) As 2 = 10.125 > 5.991, H0 is rejected at 5% significance level.

Conclusion: There is sufficient evidence that the ratio of “rejected products : imperfect but
acceptable products : perfect products” received from Vendor B is different from 1 : 1 : 8.

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Chapter 8 to 10 – What test should be conducted?

(a) t-test
Variable: spending on lunch (quantitative)
Test objective: Comparing the population mean of 2 independent populations (male, female)
with unknown population variances.

(b) z-test
Variable: suffering from insomnia (qualitative)
Test objective: Comparing the population proportion of 2 independent populations (primary
school kids, secondary school kids)

(c) ANOVA
Variable: daily income of Judy Restaurant (quantitative)
Test objective: Comparing the population mean of 4 independent populations (Monday, Tuesday,
Wednesday, Thursday)

(d) z-test
Variable: working hour in a day (quantitative)
Test objective: Test the population mean of 1 population with known population variance

(e) 2 test
Variable: traveling method (qualitative)
Test objective: Test the ratio of people using the 3 traveling method against the suggested ratio.

(f) ANOVA
Variable: processing time (quantitative)
Test objective: Comparing the mean processing of 3 independent populations (paid by VISA, by
Octopus card, by cash)

(g) z-test
Variable: cause of car accident (qualitative)
Test objective: Test the proportion of car accident due to drunk-driving is more than 0.3

(h) ANOVA
Variable: marks in final examination (quantitative)
Test objective: Test the effectiveness of four teaching methods by comparing the marks obtained
by four groups of students.

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Chapter 11 – Linear Regression and Correlation

1.
(a) The equation is y = -242.1393 + 61.6915x
(b) When the sales of the product is 0, the advertising expenditure is - $ 242139.3. When the sales
of the product is increased by 1 million dollars, the advertising expenditure is increased by
$61,691.5.
(c) r = 0.6402, moderate positive relationship between sales and advertising expenditure
(d) (i) Put x = 6, y = 128.0100.
The advertising expenditure is estimated as $128,010. The prediction is unreliable as it is
extrapolation estimation.
(ii) Put x = 9, y = 313.0846.
The advertising expenditure is estimated as $313,085. The reliability is questionable as it is
interpolation estimation with moderate correlation.

2.
(a) r = -0.9442, it’s strong negative relationship between the number of days being late to school
and the examination scores in General Education.
(b) The equation is y = 102.4925 – 3.6219x
(c) When a student being late for 0 day, he gets 102.4925 marks in the examination. When the
student being late for one extra day, his mark would be decreased by 3.6219 marks.
(d) Put x = 11, y = 62.6516.
The examination mark is estimated as 62.6516. The estimation is reliable as it is interpolation
estimation with strong correlation.

3.
(a) The equation is y = 3.8134 + 0.0337x
(b) When no water is added, the yield of hay is 3.8134 tons per acre. For every centimetre of
water being added, the yield of hay is increased by 0.0337 ton per acre.
(c) r = 0.9929, strong positive relationship between amount of water and yield of hay.
(d) (i) Put x = 90, y = 6.8443.
The expected yield of hay is 6.8443 tons per acre. The prediction is reliable by using
interpolation estimation with strong correlation.
(ii) Put x = 150, y = 8.8650.
The expected yield of hay is 8.8650 tons per acre. The prediction is unreliable by using
extrapolation.

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4.
(a) r = 0.3277. There is a moderate positive relationship between size of the offering and price
per share.
(b) y = 10.8883 + 0.001574 x
(c) When the size of offering is 0, the price per share is $10.8883. When the size of offering is
increased by every 1 million, the price per share is increased by $0.001574.
(d) y = 10.8883 + 0.001574(10) = 10.9040.
The price per share is estimated as $10.9040. Because it is interpolation estimation with
moderate correlation, the reliability is questionable.

5.
(a) r = 0.7710, it is a strong positive correlation
(b) y = 77890.9953 + 3.0569x
(c) When the customer’s monthly income is $0, he would buy a car with selling price $77890.9953.
For the customer’s monthly income increased by $1, the price of the car he purchases will be
increased by $3.0569.
(d) y = 77890.9953 + 3.0569(90000) = 353012.00
The price of the car is estimated as $353012.00. The estimation is unreliable as it is
extrapolation estimation.

6.
Photograph A B C D E F G H
Rank by Peter 2 5 3 6 1 4 7 8
Rank by Tom 4 3 2 6 1 5 8 7
d -2 2 1 0 0 -1 -1 1 ∑d=0
2
d 4 4 1 0 0 1 1 1 ∑ d2 = 12

6(12)
(a) rs = 1 − = 0.8571
8(82 −1)

(b) The two judges have similar judging criteria as the correlation between the ranking of the
photographs made by them is strong and positive.

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