Question 1

If n = 10 and $\pi = 0.70$ , then the mean of the binomial distribution is

Accepted Answer

A) 0.07 
B) 1.45. 
C) 7.00 
D) 14.29 
A) 0.07 
B) 1.45. 
C) 7.00 
D) 14.29 C

Question 2

SCENARIO 5-5
The quality control manager of Green Bulbs Inc.is inspecting a batch of energy saving compact fluorescent light bulbs.When the production process is in control, the mean number of bad bulbs per shift is 6.0.
-Referring to Scenario 5-6, what is the probability that any shift being inspected has produced fewer than 5.0 bad bulbs.

Accepted Answer

0.2851

Question 3

SCENARIO 5-11
Subscribers to Investment Advice White Letters perform security transactions at the rate of five trades per month.Assume that one of the subscribers performs transactions at this rate and the probability of a transaction for any two months is the same and the number of transactions in one month is independent of the number of transactions in another month.
-Referring to Scenario 5-11, what is variance of the number of transactions per month for this subscriber?

Accepted Answer

5

Question 4

The portfolio expected return of two investments

Accepted Answer

A) will be higher when the covariance is zero. 
B) will be higher when the covariance is negative. 
C) will be higher when the covariance is positive. 
D) does not depend on the covariance. 
A) will be higher when the covariance is zero. 
B) will be higher when the covariance is negative. 
C) will be higher when the covariance is positive. 
D) does not depend on the covariance.

Question 5

The connotation "expected value" or "expected gain" from playing roulette at a casino means

Accepted Answer

A) the amount you expect to "gain" on a single play. 
B) the amount you expect to "gain" in the long run over many plays. 
C) the amount you need to "break even" over many plays. 
D) the amount you should expect to gain if you are lucky. 
A) the amount you expect to "gain" on a single play. 
B) the amount you expect to "gain" in the long run over many plays. 
C) the amount you need to "break even" over many plays. 
D) the amount you should expect to gain if you are lucky.

Question 6

If  $\pi$ remains constant in a binomial distribution, an increase in n will increase the variance.

Accepted Answer

A) True 
 B)False

Question 7

SCENARIO 5-9
A major hotel chain keeps a record of the number of mishandled bags per 1,000 customers.In a recent year, the hotel chain had 4.06 mishandled bags per 1,000 customers.Assume that the number of mishandled bags has a Poisson distribution.
-Referring to Scenario 5-9, what is the probability that in the next 1,000 customers, the hotel chain will have no mishandled bags?

Accepted Answer

The answer of SCENARIO 5-9
A major hotel chain keeps a...

Question 8

SCENARIO 5-11
Subscribers to Investment Advice White Letters perform security transactions at the rate of five trades per month.Assume that one of the subscribers performs transactions at this rate and the probability of a transaction for any two months is the same and the number of transactions in one month is independent of the number of transactions in another month.
-Referring to Scenario 5-11, what is probability that no more than five security transactions will be conducted in one month?

Accepted Answer

The answer of SCENARIO 5-11
Subscribers to Investment Advice White Letters...

Question 9

Whenever  $\pi$ = 0.5, the binomial distribution will

Accepted Answer

A) always be symmetric. 
B) be symmetric only if n is large. 
C) be right-skewed. 
D) be left-skewed. 
A) always be symmetric. 
B) be symmetric only if n is large. 
C) be right-skewed. 
D) be left-skewed.

Question 10

If the outcomes of a variable follow a Poisson distribution, then them

Accepted Answer

A) mean equals the standard deviation. 
B) median equals the standard deviation. 
C) mean equals the variance. 
D) median equals the variance. 
A) mean equals the standard deviation. 
B) median equals the standard deviation. 
C) mean equals the variance. 
D) median equals the variance.

Question 11

Referring to Scenario 5-9, what is the probability that in the next 1,000 custoers, the chain will have at least one mishandled bag?
ANSWER:
0.9828
TYPE: PR DIFFICULTY: Easy
KEYWORDS: Poisson distribution
-Referring to Scenario 5-9, what is the probability that in the next 1,000 customers, the hotel chain will have more than ten mishandled bags?

Accepted Answer

The answer of Referring to Scenario 5-9, what is the...

Question 12

Suppose that history shows that 60% of college students prefer Brand C cola.A sample of 5 students is to be selected.The mean number that you would expect to prefer brand C is_.

Accepted Answer

The answer of Suppose that history shows that 60% of...

Question 13

In a game called Taxation and Evasion, a player rolls a pair of dice.If on any turn the sum is 7,11, or 12, the player gets audited.Otherwise, she avoids taxes.Suppose a player takes 5 turns at rolling the dice.The expected number of times she will be audited is _.

Accepted Answer

The answer of In a game called Taxation and Evasion,...

Question 14

The Department of Commerce in a state has determined that the number of small businesses that declare bankruptcy per month is approximately a Poisson distribution with a mean of 6.4.Find the probability that more than 3 bankruptcies occur next month.

Accepted Answer

The answer of The Department of Commerce in a state...

Question 15

The Poisson distribution can be used to model a continuous random variable.

Accepted Answer

A) True 
 B)False

Question 16

Suppose that history shows that 60% of college students prefer Brand C cola.A sample of 5 students is to be selected.The probability that exactly 3 prefer brand C is .

Accepted Answer

The answer of Suppose that history shows that 60% of...

Question 17

The local police department must write, on average, 5 tickets a day to keep department revenues at budgeted levels.Suppose the number of tickets written per day follows a Poisson distribution with a mean of 6.4 tickets per day.Find the probability that less than 6 tickets are written on a randomly selected day from this population.

Accepted Answer

The answer of The local police department must write, on...

Question 18

Whenever $\pi = 0.1$ and n is small, the binomial distribution will be

Accepted Answer

A) symmetric. 
B) right-skewed. 
C) left-skewed. 
D) None of the above. 
A) symmetric. 
B) right-skewed. 
C) left-skewed. 
D) None of the above.

Question 19

SCENARIO 5-5
The quality control manager of Green Bulbs Inc.is inspecting a batch of energy saving compact fluorescent light bulbs.When the production process is in control, the mean number of bad bulbs per shift is 6.0.
-Referring to Scenario 5-6, what is the probability that any shift being inspected has produced 4.0 bad bulbs.

Accepted Answer

The answer of SCENARIO 5-5
The quality control manager of Green...

Question 20

Suppose that history shows that 60% of college students prefer Brand C cola.A sample of 5 students is to be selected.The probability that more than 3 prefer brand C is .

Accepted Answer

The answer of Suppose that history shows that 60% of...

If n = 10 and $\pi = 0.70$ , then the mean of the binomial distribution is

The portfolio expected return of two investments

The connotation "expected value" or "expected gain" from playing roulette at a casino means

If $\pi$ remains constant in a binomial distribution, an increase in n will increase the variance.

Whenever $\pi$ = 0.5, the binomial distribution will

If the outcomes of a variable follow a Poisson distribution, then them

Suppose that history shows that 60% of college students prefer Brand C cola.A sample of 5 students is to be selected.The mean number that you would expect to prefer brand C is_.

In a game called Taxation and Evasion, a player rolls a pair of dice.If on any turn the sum is 7,11, or 12, the player gets audited.Otherwise, she avoids taxes.Suppose a player takes 5 turns at rolling the dice.The expected number of times she will be audited is _.

The Department of Commerce in a state has determined that the number of small businesses that declare bankruptcy per month is approximately a Poisson distribution with a mean of 6.4.Find the probability that more than 3 bankruptcies occur next month.

The Poisson distribution can be used to model a continuous random variable.

Suppose that history shows that 60% of college students prefer Brand C cola.A sample of 5 students is to be selected.The probability that exactly 3 prefer brand C is .

Whenever $\pi = 0.1$ and n is small, the binomial distribution will be

Suppose that history shows that 60% of college students prefer Brand C cola.A sample of 5 students is to be selected.The probability that more than 3 prefer brand C is .

Defining and Collecting Data

Organizing and Visualizing Variables

Numerical Descriptive Measures

Basic Probability

The Normal Distribution

Sampling Distributions

Confidence Interval Estimation

Fundamentals of Hypothesis Testing: One-Sample Tests

Two-Sample Tests

Chi-Square Tests

Simple Linear Regression

Multiple Regression

Business Analytics

Filters

Exam 5: Discrete Probability Distributions

If n = 10 and π=0.70\pi = 0.70π=0.70 , then the mean of the binomial distribution is

The portfolio expected return of two investments

The connotation "expected value" or "expected gain" from playing roulette at a casino means

If π\piπ remains constant in a binomial distribution, an increase in n will increase the variance.

Whenever π\piπ = 0.5, the binomial distribution will

If the outcomes of a variable follow a Poisson distribution, then them

Suppose that history shows that 60% of college students prefer Brand C cola.A sample of 5 students is to be selected.The mean number that you would expect to prefer brand C is_.

In a game called Taxation and Evasion, a player rolls a pair of dice.If on any turn the sum is 7,11, or 12, the player gets audited.Otherwise, she avoids taxes.Suppose a player takes 5 turns at rolling the dice.The expected number of times she will be audited is _.

The Department of Commerce in a state has determined that the number of small businesses that declare bankruptcy per month is approximately a Poisson distribution with a mean of 6.4.Find the probability that more than 3 bankruptcies occur next month.

The Poisson distribution can be used to model a continuous random variable.

Suppose that history shows that 60% of college students prefer Brand C cola.A sample of 5 students is to be selected.The probability that exactly 3 prefer brand C is .

Whenever π=0.1\pi = 0.1π=0.1 and n is small, the binomial distribution will be

Suppose that history shows that 60% of college students prefer Brand C cola.A sample of 5 students is to be selected.The probability that more than 3 prefer brand C is .

Defining and Collecting Data

Organizing and Visualizing Variables

Numerical Descriptive Measures

Basic Probability

The Normal Distribution

Sampling Distributions

Confidence Interval Estimation

Fundamentals of Hypothesis Testing: One-Sample Tests

Two-Sample Tests

Chi-Square Tests

Simple Linear Regression

Multiple Regression

Business Analytics

Filters

If n = 10 and $\pi = 0.70$ , then the mean of the binomial distribution is

If $\pi$ remains constant in a binomial distribution, an increase in n will increase the variance.

Whenever $\pi$ = 0.5, the binomial distribution will

Whenever $\pi = 0.1$ and n is small, the binomial distribution will be