TEST 6

Time: 60 minutes

Question 1. (1 mark) A restaurant manager classifies customers as regular, occasional, or

new, and finds that of all customers 50%, 40%, and 10%, respectively, fall into these
categories. The manager found that wine was ordered by 70% of the regular customers,
by 50% of the occasional customers, and by 30% of the new customers. What is the
probability that a randomly chosen customer orders wine?
Question 2. (2 marks) According to a Gallup poll 27% of American adults have
confidence in banks. Suppose that you interview 5 Americans adults at random.
a. (1 mark) What is the probability that 2 or fewer have confidence in banks?
b. (1 mark) What is the probability that no one had confidence in banks?
Question 3. (1 mark) A random variable has the following density function.

Calculate the mean and variance of the random variable.

Question 4. (2 marks) A survey of 611 office workers investigated telephone answering
practices, including how often each office worker was able to answer incoming telephone
calls and how often incoming telephone calls went directly to voice mail. A total of 281
office workers indicated that they never need voice mail and are able to take every
telephone call.
a. (1 mark) What is the 95% confidence interval for the proportion of the population of
office workers who are able to take every telephone call?
b. (1 mark) At 90% confidence, what is the margin of error?
Question 5. (3 marks) SuperScapes specializes in custom-designed landscaping for
residential areas. The estimated labour cost associated with a particular landscaping
proposal is based on the number of plantings of trees, shrubs and so on to be used for the
project. For cost-estimating purposes, managers use two hours of labour time for the
planting of a medium-sized tree. Actual times from a sample of ten plantings during the
past month follow (times in hours).
1,7 1,5 2,6 2,2 2,4 2,3 2,6 3,0 1,4 2,3
Assume that the random variable is normally distributed.
a. (1 mark) Compute the sample mean and standard deviation.
b. (1 mark) Contruct a 95% confidence interval for the population variance.
c. (1 mark) With a 0.05 level of significance, test to see whether the mean tree-planting
time differs from two hours.
Question 6. (1 mark) Given two events A and B such that they are statistically
independent. Prove that and are also statistically independent.

*Critical Values for the standard normal distribution:

 TEST 7
Time: 60 minutes
Question 1. (1 mark) Suppose 20 % of the employees of company ABC have only a high
school diploma, 60 % have bachelor degrees, and 20 % have graduate degrees. Of those
with only a high school diploma, 15 % hold management positions; whereas, of those
having bachelor degrees, 30 % hold management positions. Finally, 60 % of the
employees who have graduate degrees hold management positions. What percentage of
employees holds management positions?
Question 2. (1 mark) Suppose you play a game with a biased coin. You play each game
by tossing the coin once. Given P(heads) = 2/3. If you toss a head, you pay $6. If you toss
a tail, you win $10. What is your expected profit of playing the game over the long term?
Question 3. (1 mark) Text message users receive or send an average of 41,5 text
messages per day.
a. (0,5 marks) What is the probability that a text message user receives or sends two
messages per hour?
b. (0,5 marks) What is the probability that a text message user receives or sends more
than two messages per hour?
Question 4. (1 mark) A company wants to estimate the proportion of people who are
likely to purchase electric shavers from those who watch the nationally telecast baseball
playoffs. A random sample obtained information from 120 people who were identified as
persons who watch baseball telecasts. Suppose that the proportion of those likely to
purchase electric shavers in the population who watch the telecast is 0,25. The probability
is 0.05 that the sample proportion is lower than the population proportion by how much?
Question 5. (2 marks) You do a study of hypnotherapy to determine how effective it is in
increasing the number of hours of sleep subjects get each night. You measure hours of
sleep for 12 subjects with the following results.
8,2 9,1 7,7 8,6 6,9 11,2 10,1 9,9 8,9 9,2 7,5 10,5
a. (1 mark) Construct a 95% confidence interval for the mean number of hours slept for
the population (assumed normal) from which you took the data.
b. (1 mark) At 90% confidence, what is the width of the confidence interval?
Question 6. (3 marks) At the insistence of a government inspector, a new safety device is
installed in an assembly-line operation. After the installation of this device, a random
sample of 8 days’ output gave the following results for numbers of finished components
produced:
618 660 638 625 571 598 639 582
a. (1 mark) Calculate the samle mean and deviation.
b. (1 mark) Contruct a 95% confidence interval for the population mean.
c. (1 mark) Management is concerned about the variability of daily output and views any
variance above 500 as undesirable. Test, at the 10% significance level, the null
hypothesis that the population variance for daily output does not exceed 500.
Question 7. (1 mark) In a promotion for a particular airline, customers and potential
customers were given vouchers. A 1/325 proportion of these were worth a free round-trip
ticket anywhere this airline flies. How many vouchers would an individual need to collect
in order to have a 50% chance of winning at least one free trip?

*Critical Values for the standard normal distribution:

 TEST 8
Time: 60 minutes
Question 1. (1 mark) A survey of middle-aged men reveals that 28% of them are balding
at the crown of their heads. Moreover, it is known that such men have an 18% probability
of suffering a heart attack in the next 10 years. Men who are not balding in this way have
an 11% probability of a heart attack. Find the probability that a middle-aged man will
suffer a heart attack sometime in the next 10 years.
Question 2. (1 mark) The following density function describes the random variable X.

a. (0,5 marks) Find the probability that X lies between 1 and 3.

b. (0,5 marks) Calculate the expected value of X.
Question 3. (1 mark) The Census Bureau’s Current Population Survey shows 28% of
individuals, ages 25 and older, have completed four years of college (The New York
Times Almanac, 2006). For a sample of 15 individuals, ages 25 and older, answer the
following questions:
a. (0,5 marks) What is the probability four will have completed four years of college?
b. (0,5 marks) What is the probability three or more will have completed four years of
college?
Question 4. (2 marks) A statistics practitioner working for major league baseball wants
to supply radio and television commentators with interesting statistics. He observed
several hundred games and counted the number of times a runner on first base attempted
to steal second base. He found there were 373 such events of which 259 were successful.
a. (1 mark) Estimate with 95% confidence the proportion of all attempted thefts of second
base that are successful.
b. (1 mark) At 99% confidence, what is the margin of error?
Question 5. (2 marks) A process that produces bottles of shampoo, when operating
correctly, produces bottles whose contents weigh, on average, 20 ounces. A random
sample of nine bottles from a single production run yielded the following content weights
(in ounces):
 21,4 19,7 19,7 20,6 20,8 20,1 19,7 20,3 20,9
Assuming that the population distribution is normal, test at the 5% level the hypothesis
that the process is operating correctly.
Question 6. (2 marks) Your statistics instructor claims that 60 percent of the students
who take her Elementary Statistics class go through life feeling more enriched. For some
reason that she can't quite figure out, most people don't believe her. You decide to check
this out on your own. You randomly survey 64 of her past Elementary Statistics students
and find that 34 feel more enriched as a result of her class. Now, at the 10% significance
level, what do you think?
Question 7. (1 mark) You are given two indistinguishable envelopes, each containing
money, one contains twice as much as the other. You may pick one envelope and keep
the money it contains. Having chosen an envelope at will, but before inspecting it, you
are given the chance to switch envelopes. Should you switch?

*Critical Values for the standard normal distribution: