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Consider a poisson distribution with an average of 3

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Unformatted text preview: 2. In addition, the number of defects per unit is distributed according to Poisson distribution. What is the probability that there will be a total of 7 defects on four standard sheets of steel? A. .8750 B. .1221 C. .0573 D. .1396 97. Historical data for a local steel manufacturing company shows that the average number of defects per standard sheet of steel is 2. In addition, the number of defects per unit is distributed according to Poisson distribution. A batch has just been completed. What is the probability that the first three units manufactured in this batch will contain at least a total of 4 defects? A. .8488 B. .7149 C. .1512 D. .2851 98. Historical data for a local steel manufacturing company shows that the average number of defects per standard sheet of steel is 2. In addition, the number of defects per unit is distributed according to Poisson distribution. Determine the standard deviation of the number of defective units for 32 sheets of metal. A. 2 B. 32 C. 64 D. 8 1-372 Chapter 01 - An Introduction to Business Statistics 99. Consider the experiment of tossing a fair coin three times and observing the number of heads that result (X = number of heads). Determine the expected number of heads. A. 1.5 B. 1.0 C. 2.0 D. 1.1 100. Consider the experiment of tossing a fair coin three times and observing the number of heads that result (X = number of heads). What is the variance for this distribution? A. 1.5 B. 1.22 C. 0.75 D. 0.87 101. Consider the experiment of tossing a fair coin three times and observing the number of heads that result (X = number of heads). What is the standard deviation for this distribution? A. 1.5 B. 1.22 C. 0.75 D. 0.87 102. Consider the experiment of tossing a fair coin three times and observing the number of heads that result (X = number of heads). If you were asked to play a game in which you tossed a fair coin three times and were given $2 for every head you threw, how much would you expect to win on average? A. $3 B. $2 C. $6 D. $9 1-373 Chapter 01 - An Introduction to Business Statistics 103. A pharmaceutical company has determined that if a new cholesterol-reducing drug is manufactured (introduced to the market), the following probability distribution will describe this drug's contribution to the company's profits during the next six months. The company management has decided to market this product if the expected contribution to profit for the next six months is more than $90,000. Based on the information given above, should the company begin manufacturing the new drug? A. Yes, begin manufacturing B. No, don't begin manufacturing 104. According to data from the state blood program, 40% of all individuals have group A blood. If six (6) individuals give blood, find the probability None of the individuals has group A blood? A. .0041 B. .0410 C. .4000 D. .0467 105. According to data from the state blood program, 40% of all individuals have group A blood. If six (6) individuals give blood, find the probability Exactly three of the individuals has group A blood? A. .4000 B. .2765 C. .5875 D. .0041 1-374 Chapter 01 - An Introduction to Business Statistics 106. According to data from the state blood program, 40% of all individuals have group A blood. If six (6) individuals give blood, find the probability At least 3 of the individuals have group A blood. A. .8208 B. .5443 C. .4557 D. .1792 107. According to data from the state blood program, 40% of all individuals have group A blood. If six (6) individuals give blood, find the probability Find the mean number of individuals having group A blood. A. 1.2 B. 1.55 C. 1.44 D. 2.4 108. According to data from the state blood program, 40% of all individuals have group A blood. If six (6) individuals give blood, find the probability Suppose that of the six randomly selected individuals, 3 have group A blood. Would you believe the data from the state blood program? A. Yes, probability is > .05 B. Yes, probability is < .05 C. No 109. A lawyer believes that the probability is .3 that she can win a discrimination suit. If she wins the case she will make $40,000, but if she loses she gets nothing. Assume that she has to spend $5000 preparing the case. What is her expected gain? A. $35,000 B. $7,000 C. $10,500 D. $9,000 1-375 Chapter 01 - An Introduction to Business Statistics 110. Your company's internal auditor believes that 10% of the company's invoices contain errors. To check this theory, 20 invoices are randomly selected and 5 are found to have errors. What is the probability that of the 20 invoices written, five or more would contain errors if the theory is valid? A. .0433 B. .0319 C. .9567 D. .8660 111. Your company's internal auditor believes that 10% of the company's invoices contain errors. To check this theory, 20 invoices are randomly selected and 5 are found to have errors. Would you accept or reject the claim? A. Accept the auditor's claim B. Reject the auditor's claim 112. An important part of the customer service responsibilities of a cable company relates to the speed with which tro...
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This document was uploaded on 01/20/2014.

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