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Statistics for Business and Economics Study Set 2
Exam 6: Continuous Probability Distributions
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Question 1
Multiple Choice
A value of 0.5 that is added and/or subtracted from a value of x when the continuous normal distribution is used to approximate the discrete binomial distribution is called
Question 2
Short Answer
The Globe Fishery packs shrimp that weigh more than 1.91 ounces each in packages marked" large" and shrimp that weigh less than 0.47 ounces each into packages marked "small"; the remainder are packed in "medium" size packages. If a day's catch showed that 19.77 percent of the shrimp were large and 6.06 percent were small, determine the mean and the standard deviation for the shrimp weights. Assume that the shrimps' weights are normally distributed.
Question 3
Multiple Choice
The function that defines the probability distribution of a continuous random variable is a
Question 4
Multiple Choice
Exhibit 6-9 The average price of personal computers manufactured by MNM Company is $1,200 with a standard deviation of $220. Furthermore, it is known that the computer prices manufactured by MNM are normally distributed. -Refer to Exhibit 6-9. Computers with prices of more than $1,750 receive a discount. What percentage of the computers will receive the discount?
Question 5
Essay
The monthly income of residents of Daisy City is normally distributed with a mean of $3000 and a standard deviation of $500. a.The mayor of Daisy City makes $2,250 a month. What percentage of Daisy City's residents has incomes that are more than the mayor's? b.Individuals with incomes of less than $1,985 per month are exempt from city taxes. What percentage of residents is exempt from city taxes? c.What are the minimum and the maximum incomes of the middle 95% of the residents? d.Two hundred residents have incomes of at least $4,440 per month. What is the population of Daisy City?
Question 6
Short Answer
The average starting salary for this year's graduates at a large university (LU) is $20,000 with a standard deviation of $8,000. Furthermore, it is known that the starting salaries are normally distributed. a.What is the probability that a randomly selected LU graduate will have a starting salary of at least $30,400? b.Individuals with starting salaries of less than $15,600 receive a low income tax break. What percentage of the graduates will receive the tax break? c.What are the minimum and the maximum starting salaries of the middle 95% of the LU graduates? d.If 189 of the recent graduates have salaries of at least $32,240, how many students graduated this year from this university?
Question 7
Multiple Choice
Z is a standard normal random variable. The P(-1.96
Z
-1.4) equals
Question 8
Multiple Choice
Exhibit 6-2 The weight of football players is normally distributed with a mean of 200 pounds and a standard deviation of 25 pounds. -Refer to Exhibit 6-2. What is the minimum weight of the middle 95% of the players?