Exam 1 Practice Problems 1

Exam 1 Practice Problems 1 - BUAD 310 In-Class Practice...

Info icon This preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
- 1 - BUAD 310 In-Class Practice Solutions 9/8/10 1. The Glitzwear catalog is mailed to thousands of people, and these people make (annually) purchases from the catalog, which average $42 and have a standard deviation of $60. a) Assuming that the distribution i s normal, find the probability that one person’s purchases will exceed $40. Soln: 40 42 P X 40 P Z P Z 0.03 0.5 0.0120 0.5120 60 b) Suppose that you would like to obtain a sample of 100 of these people for followup interviews. For a sample of 100, what is the probability that the average annual purchases will exceed $40? Soln: 6293 . 0 1293 . 0 5 . 0 ) 333 . 0 ( ) 100 / 60 42 40 ( ) 40 ( Z P Z P X P 2. A television cable company receives numerous phone calls throughout the day from customers reporting service troubles and from would-be subscribers to the cable network. Most of these callers are put "on hold" until a company operator is free to help them. The company has determined that the length of time a caller is on hold is normally distributed with a mean of 3.1 minutes and a standard deviation of 0.9 minutes. Company experts have decided that if as many
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern