Question: For a standard normal variable, Z, find (

> Define supply chain management, and explain its strategic importance. (1) Why can’t companies just stockpile huge inventories of all the parts and materials they need rather than carefully manage supply from one day to the next? (2) Why would a company i

> Describe the value chain and value web concepts, and discuss the controversy over offshoring. Do U.S. companies have an obligation to keep jobs in the United States? Why or why not?

> Identify the major organizations that facilitate international trade and the major trading blocs around the world. (1) Why do trade disputes sometimes take years to resolve? (2) If a country currently benefits from high tariffs on imports, why might it c

> Explain the systems perspective, and identify seven principles of systems thinking that can improve your skills as a manager. (1) Why are leverage points in a system so critical to understand? (2) Why should a manager in marketing care about systems in t

> Explain the concept of an unstructured organization, and identify the major benefits and challenges of taking this approach. (1) “Unstructured” organization is something of a contradiction in terms; are such companies still “organized” if they have no pe

> Review the five stages of team development, and explain why conflict can arise in team settings. (1) How can a team leader know when to step in when conflict arises and when to step back and let the issue work itself out? (2) What are the risks of not gi

> Highlight the advantages and disadvantages of working in teams, and list the characteristics of effective teams. (1) Is groupthink similar to peer pressure? Why or why not? (2) Is supporting a group decision you don’t completely agree with always a case

> Explain how a team differs from a group, and describe the six most common forms of teams. (1) How might the work of a task force or committee disrupt the normal chain of command in an organization? (2) Should new hires with no business experience be assi

> Define four major types of organization structure. (1) Should The Container Store use the same organization structure in each of its stores around the country? Why or why not? (2) Why does a matrix structure create potential problems in the chain of comm

> Explain the major decisions needed to design an organization structure. (1) What are the risks of a poorly designed organization structure? (2) How does a flat structure change the responsibilities of individual managers?

> Identify and explain four important types of managerial skills. (1) Why is trust a vital aspect of a manager’s interpersonal skills? (2) What are the risks of poorly defining problems or opportunities prior to making decisions?

> Describe the controlling function, and explain the four steps in the control cycle. (1) Why is it important to meet the needs of internal customers? (2) Is lowering performance standards in response to a failure to meet those standards necessarily a sign

> Describe the leading function, leadership style, and organizational culture. (1) Are management and leadership the same thing? If not, why not? (2) Can a single individual be an autocratic, a democratic, and a laissez-faire leader? Why or why not?

> Discuss the nature of conflicts in global business, including free trade and government interventions into international trade. (1) What would happen to U.S. workers if all trade intervention suddenly disappeared? (2) What would be the effect on U.S. con

> Describe the organizing function, and differentiate among top, middle, and first-line management. (1) Why might a manager need to deemphasize skills honed in previous positions as he or she rises through the organizational hierarchy? (2) Would top manage

> Describe the planning function, and outline the strategic planning process. (1) Would Boeing and Old Navy develop strategic plans over the same time horizon? Why or why not? (2) How does the vision statement guide the planning process?

> Explain the importance of management, and identify the three vital management roles. (1) How are social media changing the nature of the manager’s information role? (2) Would managers get more respect from employees if they “rolled up their sleeves” and

> Explain the advantages and disadvantages of franchising. (1) Why might a business owner with a successful concept decide to sell franchises rather than expanding the company under his or her own control? (2) Why might someone with strong entrepreneurial

> Discuss the principal sources of small-business private financing. (1) Would a profitable small business with only moderate growth potential be a good candidate for venture capitalist funding? Why or why not? (2) Why would angel investors help finance co

> Identify the major causes of business failures, and identify sources of advice and support for struggling business owners. (1) Why would a state or local government invest taxpayer dollars in a business incubator? (2) Can you think of any risks of gettin

> Explain the importance of planning a new business, and outline the key elements in a business plan. (1) Why is it important to identify critical risks and problems in a business plan? (2) Many experts suggest that you write the business plan yourself, ra

> List the most common reasons people start their own companies, and identify the common traits of successful entrepreneurs. (1) Would someone who excels at independent entrepreneurship automatically excel at an intrapreneurial effort? Why or why not? (2)

> Highlight the contributions small businesses make to the U.S. economy. (1) Why do you think many companies grow more risk-averse as they grow larger? (2) If they wanted to, could large businesses take the place of small businesses in the U.S. economy? F

> Define strategic alliances and joint ventures, and explain why companies would choose these options over a merger or acquisition. Why are an increasing number of companies now considering joint ventures rather than mergers and acquisitions?

> Explain why nations trade, and describe how international trade is measured. (1) Would it be wise for an advertising agency to open offices in Europe and Asia to service a single multinational client? Why or why not? (2) If IBM invests $40 million in a j

> Identify the potential advantages of pursuing mergers and acquisitions as a growth strategy, along with the potential difficulties and risks. (1) If you were on the board of directors at a company and the CEO proposed a merger with a top competitor, what

> Explain the concept of corporate governance, and identify the three groups responsible for ensuring good governance. (1) Why are some shareholder activists pressuring corporations to increase the number of board seats held by women and minorities? (2) Wh

> Define corporation, and explain the four advantages and six disadvantages of this ownership model. (1) Why is the LLC structure recommended for most small companies that aren’t sole proprietorships? (2) How can the demands of the stock market affect mana

> Identify four fundamental consumer rights and the responsibility of business to respect them. Is there a point at which responsibility for product safety shifts from the seller to the buyer? Explain your answer.

> Discuss what it means to practice good business ethics, and highlight three factors that influence ethical decision making. (1) If you go to work tomorrow morning and your boss asks you to do something you consider unethical, what factors will you take i

> Identify the two major sets of economic forces that triggered the meltdown of 2008 and sent the economy into a global recession. (1) Can financial bubbles be avoided? After all, they involve lots of human emotion triumphing over logic. Explain your answe

> Identify the major types of commercial banks, and outline the impact of banking deregulation over the past three decades. (1) Why might credit unions want to promote themselves as not being banks in the popular usage of the term? (2) Would a credit uni

> Distinguish investment banks from commercial banks, and identify the three major types of investment banks. (1) Could efforts to avoid conflicts of interest lead an investment bank to provide poor service to a client? Explain your answer. (2) With the

> Explain the major functions of the Federal Reserve System, and identify other key federal financial institutions. (1) Why does the Fed want to avoid an “overheating” economy? (2) Why is the Fed’s discount window considered the “lender of last resort” for

> List the four financial functions of money and define two key measures of the money supply. (1) What might happen if people lose trust in their country’s currency? (2) Why couldn’t you buy your groceries using an amount of gold of equal value to the cost

> Identify the major ways of measuring economic activity. (1) Why would anyone bother to monitor lagging indicators? (2) Why is GDP considered a more accurate measure of a country’s economic health than GNP?

> Describe four major steps required to become an investor. (1) If you want to buy a particular stock but are worried that demand from investors could push the price to an unreasonably high level before your order is executed, which type of order would you

> Describe the four major types of financial markets. (1) What is the difference between the primary market and the secondary market? (2) Why do individual investors participate in the stock and bond markets but not in the money market?

> Define derivative, and identify the major types of derivatives. (1) Why would a lender make loans that are so risky that it would consider credit default swaps to protect itself from default? (2) Would options and futures be a wise investment for someone

> Define mutual fund, and explain the advantages and disadvantages of this popular investment vehicle. (1) How might the constant scrutiny and demand for consistent results affect the long-term performance of a mutual fund? (2) If many funds don’t outperfo

> Explain the three key variables that distinguish bonds, compare the advantages and disadvantages of owning bonds, and list the major types of bonds. (1) Why do bonds offer lower average rates of return than stocks? (2) If a company’s newest product flops

> Distinguish between common and preferred stock, and explain the difference between market value and intrinsic value. (1) Assuming both can be calculated with reasonable accuracy, does book value or intrinsic value give a more accurate assessment of a com

> Describe the two options for equity financing, and explain how companies prepare an initial public offering. (1) High-tech firms tend to dominate IPO filings year after year; why do you suppose this is so? (2) Why does the volume of IPOs tend to track th

> Identify the major categories of long-term debt financing. (1) How could rates of technological change affect a company’s decision about whether to buy or lease equipment, vehicles, and other assets? (2) Why would lenders want to see that a business alre

> Identify the major categories of short-term debt financing. (1) How does getting a secured loan using accounts receivable as collateral differ from factoring? (2) Why would any seller offer trade financing, since it ties up working capital without genera

> Compare the advantages and disadvantages of debt and equity financing, and explain the two major considerations in choosing from financing alternatives. (1) What factors might lead a company to gain additional funds through debt financing rather than thr

> Identify four macroeconomic issues that are essential to understanding the behavior of the economy. (1) Are colleges and universities an example of pure competition or monopolistic competition? Why? (2) Are monopolies always harmful to consumers? Why or

> Explain the concept of adding value in a business, and identify the major types of business. (1) What inputs does a musical group use to create its outputs? (2) Can not-for-profit organizations benefit from practices used by for-profit companies? Why or

> The three finalists for an award are A, B, and C. They are rated by two judges. Each judge assigns the ratings 1 for best, 2 for intermediate, and 3 for worst. Let X denote the total score for finalist A (the sum of the ratings received from the two ju

> Determine the following probabilities from the curve f ( x) diagrammed in Exercise 6.1 (a). (a) P( 0 (b) P(l.8 (c) P(.4 (d) P[ X = 1] Data from Exercise 6.1: Which of the functions sketched below could be a probability density function for a continuous

> Identify the z values in the following diagrams of the standard normal distribution (interpolate, as needed)

> Identify the z values in the following diagrams of the standard normal distribution (interpolate, as needed).

> Find the area under the standard normal curve over the interval (a) z = -.44 to z = .44 (b) z = -1.33 to z = 1.33 (c) z = .40 to z = 2.03 (d) z = 1.405 to z = 2.306 (interpolate)

> Find the area under the standard normal curve over the interval (a) z = - .85 to z = .85 (b) z = -1.15 to z = 1.15 (c) z = .58 to z = 2.03 (d) z = -.845 to z = 1.366 (interpolate) (e) Check all of your answers using software.

> Find the area under the standard normal curve to the right of (a) z = .63 (b) z = 2.63 (c) z = -1.23 (d) z = 1.635 (interpolate)

> Find the area under the standard normal curve to the right of (a) z = 1.27 (b) z = .54 (c) z = -1 .63 ( d) z = -1.325 (interpolate)

> Find the area under the standard normal curve to the left of (a) z = 1.63 (b) z = 1.07 (c) z = -1.07 (d) z = -1.55

> Find the area under the standard normal curve to the left of (a) z = 1.37 (b) z = .34 (c) z = -1.61 (d) z = -2.53

> Faced with a tight deadline on two major projects, you decide to hire two of the five available persons to help complete the work. They have 2, 3, 5, 3, and 2 years experience, respectively. Since their references are very similar, you decide to select t

> Two pieces of wood need to be glued together. After applying glue to both pieces, they must be clamped to obtain the best results. The required clamping time in any application is a random variable. Find the standardized variable Z, for the clamping time

> Males 20 to 29 years old have a mean height of 69.4 inches with a standard deviation of 3.5 inches. Females 20 to 29 years old have a mean h eight of 64.1 inches with a standard deviation of 3.1 inches. (a) Find the standardized variable for the heights

> Which of the functions sketched below could be a probability density function for a continuous random variable? Why or why not?

> According to a recent Federal Trade Commission Report, about .13% of the persons in the 20-29 year old age group filed identity theft complaints. From a random sample of n = 600 persons 20-29 years old, let X denote the number who filed an identity theft

> Records over several years show that the probability is .00003 that a car will have a flat tire while driving through a long tunnel. About 16,000 cars use the tunnel each week. Determine the probability that 2 or more cars will have a flat next week (a)

> For health reasons, homes need to be inspected for radon gas that decays and produces alpha particles. One device counts the number of alpha particles that hit its detector. To a good approximation, in one area, the count for the next week follows a Pois

> A Poisson distribution with m = 2.5 governs the yearly number of tornado touchdowns in a central area of the state. Find the probabilities P [ X ≤ 1 ] and P [ X ≥ 1 ] .

> A Poisson distribution with m = 1.2 governs the number of fireflies that flash in a l O second period during an August evening in the yard. Determine the probability that: (a) 2 fireflies flash. (b) Less than or equal 3 flash . (c) 6 fireflies flash in

> Th e number of weekly breakdowns of a department's computing system is a random variable having a Poisson distribution with m = .4. What is the probability the computer will run for two consecutive weeks without a breakdown?

> A Poisson distribution with m = 5.5 governs the daily number of insurance claims handled by an adjuster. Det ermine the probability that she handles (a) 6 claims tomorrow. (b) 12 claims in the next two days. (c) 3 or fewer tomorrow.

> A child psychologist interested in how friends are selected studies groups of three children. For one group, Ann, Barb, and Carol, each is asked which of the other two she likes best. (a) Make a list of the outcomes. (b) Let X be the number of times Car

> Refer to Exercise 5.78. (a) What are the unusual values for the number of underweight hamburgers in the sample if they correspond to proportions outside of the control limits of the p-chart? (b) Use the binomial table to find th e probability of observ

> Several fast food restaurants advertise quarter-pound hamburgers. This could be interpreted as meaning half the hamburgers made have an uncooked weight of at least a quarter-pound and half have a weight that is less. An inspector checks 20 uncooked hambu

> Refer to the credit card application approval process. (a) Make a p-chart using the centerline and control limits calculated for Po = .4. (b) Suppose the next five weeks bring 12, 10, 15, 11, and 16 applications requiring full review. Graph the correspon

> Refer to the credit card application approval process where unusual values are defined. (a) Show that if 4 is included as an unusual value, then the probability P [ X ≤ 4 or X ≥ 13 ) is greater than .05. (b) Show that if 12 is included as an unusual va

> Many computer packages produce binomial probabilities. We illustrate the MINITAB commands for obtaining the binomial probabilities with n = 5 and p = .33. The probabilities P [ X = x] are obtained by first setting 0, 1, 2, 3, 4, 5 in Cl and then selectin

> The following table shows the percentages of residents in a large community when classified according to gender and presence of a particular allergy. For each part below, find the mean and standard deviation of the specified random variable. (a) X stands

> According to the Mendelian theory of inheritance of genes, offspring of a dihybrid cross of peas could be any of the four types: round-yellow (RY), wrinkled-yellow ( WY), round-green ( RG ) and wrinkled-green ( WG ), and their probabilities are in the ra

> Referring to Exercise 5.71, find: (a) The expected number of college seniors, in a random sample of 20, supporting the increased funding. (b) The probability that the number of sampled college seniors supporting the increased funding equals the expecte

> Suppose that 20% of the college seniors support an increase in federal funding for care of the elderly. If 20 college seniors are randomly selected, what is the probability that at most 3 of them support the increased funding?

> (a) For the binomial distribution with n = 3 and p = .6, list the probability distribution ( x, f ( x)) in a table. (b) From this table, calculate the mean and standard deviation by using the methods of Section 3. (c) Check your results with the formula

> Each week a grocery shopper buys either canned (C) or bottled (B) soft drinks. The type of soft drink purchased in 3 consecutive weeks is to be recorded. (a) List the sample space. (b) If a different type of soft drink is purchased than in the previous

> Calculate the mean and standard deviation of the binomial distribution using the formulas in mean = n p (a) If n is changed to 20. (b) When n 20. (c) When n = 40.

> A survey report states that 70% of adult women visit their doctors for a physical examination at least once in two years. If 20 adult women are randomly selected, find the probability that: (a) Fewer than 14 of them have had a physical examination in th

> About 30% of adults say that reading is a favorite leisure activity. Let success be the outcome that reading is a favorite leisure activity. Find the probability that: (a) More than 5 trials are needed in order to obtain 3 successes. (b) More than 9 tri

> According to the U.S. Census Bureau, about 10% of persons between 25 and 29 years old live alone. For a random sample of size n, use the binomial table, or software, to find the probability of (a) l or fewer persons living alone when n 14. (b) 2 or mor

> Using the binomial table, find the probability of: (a) Four successes in 13 trials when p = .3. (b) Eight failures in 13 trials when p = . 7. (c) Eight successes in 13 trials when p = .3. Explain why you get identical answers in parts (b) and ( c).

> Rh-positive blood appears in 85% of the white population in the United States. If 8 people are sampled at random from that population, find the probability that: (a) At least 6 of them have Rh-positive blood. (b) At most 3 of them have Rh-negative bloo

> Suppose 15% of the trees in a forest have severe leaf damage from air pollution. If 5 trees are selected at random, find the probability of: (a) Three of the selected trees h ave severe leaf damage. (b) No more than two h ave severe leaf damage.

> According to a recent survey, outside of their own family members, 26% of adult Americans have no close friend to confide in. If this is the prevailing probability today, find the probability that in a random sample of n = 5 adults (a) Two or more have

> About 75% of dog owners buy holiday presents for their dogs. Suppose n = 4 dog owners are randomly selected. Find the probability of: (a) Three or more buy their dog holiday presents. (b) At most three buy their dog holiday presents. (c) Find the expe

> Refer to Exercise 5.59. What is the most probable value of X ( called the mode of a distribution)? Data from Exercise 5.59: An interior designer makes a presentation to potential clients and this results in sales of h er services in 25% of the cases. Le

> Two brands of beverages, B and M, are popular with students. The owner of one campus establishment observes sales and, for each of three weekends, records which brand has the highest sales. List the possible outcomes, and for each outcome record the numb

> An interior designer makes a presentation to potential clients and this results in sales of h er services in 25% of the cases. Let X denote the number of sales in the next four presentations. Assuming the results for different clients are independent, ca

> (a) Plot the probability histograms for the binomial distributions for n = 5 and p equal to .2, .5, and .8. (b) Locate the means. (c) Find P [ X ≥ 4 ) for each of the three cases.

> In each case, find the probability of x successes in n Bernoulli trials with success probability p for each trial. (a) X = 2 n = 3 p = .35 (b) X = 3 n = 6 p = .25 (c) X = 2 n = 6 p = .65

> Construct a tree diagram for three Bernoulli trials. Attach probabilities in terms of p and q to each outcome and then table the binomial distribution for n = 3.

> For each situation, state whether or not a binomial distribution holds for the random variable X. Also, identify the numerical values of n and p when a binomial distribution holds. (a) A fair die is rolled 10 times, and X denotes the number of times 6 s

> The accompanying table shows the percentages of residents in a large community when classified according to gender and presence of a particular allergy. Suppose that the selection of a person is considered a trial and the presence of the allergy is consi

> An animal either dies (D) or survives (S) in the course of a surgical experiment. The experiment is to be performed first with two animals. If both survive, no further trials are to be made. If exactly one animal survives, one more animal is to undergo t

> A graphic designer makes a presentation to clients and this results in sales of her services in one-fourth of the cases. Assuming the results for different clients are independent. (a) Find the probability that exactly 3 of the next 4 presentations resul