Questions from Business Statistics

Q: Compare the “probability of being within one standard deviation of the

Compare the “probability of being within one standard deviation of the mean” for the exponential and normal distributions.

Q: A new project has an uncertain cash flow. A group meeting

A new project has an uncertain cash flow. A group meeting has resulted in a consensus that a reasonable way to view the possible risks and rewards is to say that the project will pay $50,000 with prob...

Q: You work for the loan department of a large bank. You

You work for the loan department of a large bank. You know that one of your customers has been having trouble with the recession and may not be able to make the loan payment that is due next week. You...

Q: You are planning to invest in a new high-tech company

You are planning to invest in a new high-tech company, and figure your rate of return over the coming year as in Table 7.6.4 (where 100% says that you doubled your money, 50% says you lost half, etc.)...

Q: Draw a random sample of five contracts from a population of 362

Draw a random sample of five contracts from a population of 362 recent contracts with cost overruns, starting with row 13, column 5 of the table of random digits.

Q: Draw a random sample of eight invoices from a population of 500

Draw a random sample of eight invoices from a population of 500 overdue billings, starting with row 17, column 5 of the table of random digits.

Q: The mean account balance is $500 and the standard deviationis$

The mean account balance is $500 and the standard deviationis$120foralargepopulation of bank accounts. Find the standard deviation of the average balance of groups of eight accounts (chosen independen...

Q: The population mean productivity is 35, the population standard deviation is

The population mean productivity is 35, the population standard deviation is 10, and the sample size is 15. Find the standard deviation of the total amount represented by a random sample.

Q: For the annual salary levels: a. Construct a cumulative

For the annual salary levels: a. Construct a cumulative distribution function. b. Find the median, quartiles, and extremes. c. Construct a box plot, and comment on its appearance. d. Find the 10th per...

Q: You have eight machines operating independently. The mean production rate for

You have eight machines operating independently. The mean production rate for each machine is 20.3 tons/day, and the standard deviation is 1.4 tons/day. Approximately how much uncertainty is there in...