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

Question 2

In a Poisson distribution,the mean and standard deviation are equal.

Accepted Answer

A) True 
 B)False

Question 3

The number of power outages at a nuclear power plant has a Poisson distribution with a mean of 6 outages per year.The probability that there will be between 1 and 3 inclusive power outages in a year is _____.

Accepted Answer

The answer of The number of power outages at a...

Question 4

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 security transaction will be conducted in one month?

Accepted Answer

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

Question 5

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 mean number of transactions per month for this subscriber?

Accepted Answer

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

Question 6

SCENARIO 5-10
An accounting firm in a college town usually recruits employees from two of the universities in town.This year,there are fifteen graduates from University A and five from University B and the firm decides to hire six new employees from the two universities.
-Referring to Scenario 5-10,what is the probability that at least one of the new employees will be from University A?

Accepted Answer

The answer of SCENARIO 5-10
An accounting firm in a college...

Question 7

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.

Question 8

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 exactly 5 bankruptcies occur next month.

Accepted Answer

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

Question 9

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 variance of the number of times she will be audited is _____.

Accepted Answer

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

Question 10

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 probability that she does not get audited is _____.

Accepted Answer

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

Question 11

What type of probability distribution will the consulting firm most likely employ to analyze the insurance claims in the following problem? An insurance company has called a consulting firm to determine if the company has an unusually high number of false insurance claims.It is known that the industry proportion for false claims is 3%.The consulting firm has decided to randomly and independently sample 100 of the company's insurance claims.They believe the number of these 100 that are false will yield the information the company desires.

Accepted Answer

A) binomial distribution. 
B) Poisson distribution. 
C) hypergeometric distribution. 
D) none of the above.

Question 12

Suppose that the number of airplanes arriving at an airport per minute is a Poisson process.The mean number of airplanes arriving per minute is 3.The probability that exactly 6 planes arrive in the next minute is 0.05041.

Accepted Answer

A) True 
 B)False

Question 13

SCENARIO 5-7
There are two houses with almost identical characteristics available for investment in two different neighborhoods with drastically different demographic composition.The anticipated gain in value when the houses are sold in 10 years has the following probability distribution:
 
-Referring to Scenario 5-7,what is the variance of the gain in value for the house in neighborhood A?

Accepted Answer

The answer of SCENARIO 5-7
There are two houses with almost...

Question 14

A debate team of 4 members for a high school will be chosen randomly from a potential group of 15 students.Ten of the 15 students have no prior competition experience while the others have some degree of experience.What is the probability that none of the members chosen for the team have any competition experience?

Accepted Answer

The answer of A debate team of 4 members for...

Question 15

SCENARIO 5-1
The probability that a smoke alarm will function properly and sound an alarm in the presence of smoke is 0.8.You have 2 such alarms in your home and they operate independently.
-Referring to Scenario 5-1,the probability that neither sound an alarm in the presence of smoke is_____.

Accepted Answer

The answer of SCENARIO 5-1
The probability that a smoke alarm...

Question 16

SCENARIO 5-7
There are two houses with almost identical characteristics available for investment in two different neighborhoods with drastically different demographic composition.The anticipated gain in value when the houses are sold in 10 years has the following probability distribution:
 
-Referring to Scenario 5-7,if you can invest 30% of your money on the house in neighborhood A and the remaining on the house in neighborhood B,what is the portfolio risk of your investment?

Accepted Answer

The answer of SCENARIO 5-7
There are two houses with almost...

Question 17

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 18

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 19

A lab orders 100 rats a week for each of the 52 weeks in the year for experiments that the lab conducts.Suppose the mean cost of rats used in lab experiments turned out to be $13.00 per week.Interpret this value.

Accepted Answer

A) Most of the weeks resulted in rat costs of $13.00. 
B) The median cost for the distribution of rat costs is $13.00. 
C) The expected or mean cost for all weekly rat purchases is $13.00. 
D) The rat cost that occurs more often than any other is $13.00.

Question 20

SCENARIO 5-5
From an inventory of 48 new cars being shipped to local dealerships,corporate reports indicate that 12 have defective radios installed.
-Referring to Scenario 5-5,what is the probability out of the 8 new cars it just received that,when each is tested,no more than half of the cars have non-defective radios?

Accepted Answer

The answer of SCENARIO 5-5
From an inventory of 48 new...

Exam 5: Discrete Probability Distributions

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

In a Poisson distribution,the mean and standard deviation are equal.

The number of power outages at a nuclear power plant has a Poisson distribution with a mean of 6 outages per year.The probability that there will be between 1 and 3 inclusive power outages in a year is _____.

Whenever π\piπ = 0.5,the binomial distribution will

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 exactly 5 bankruptcies occur next month.

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 variance of the number of times she will be audited 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 probability that she does not get audited is _____.

Suppose that the number of airplanes arriving at an airport per minute is a Poisson process.The mean number of airplanes arriving per minute is 3.The probability that exactly 6 planes arrive in the next minute is 0.05041.

SCENARIO 5-1 The probability that a smoke alarm will function properly and sound an alarm in the presence of smoke is 0.8.You have 2 such alarms in your home and they operate independently. -Referring to Scenario 5-1,the probability that neither sound an alarm in the presence of smoke 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.

A lab orders 100 rats a week for each of the 52 weeks in the year for experiments that the lab conducts.Suppose the mean cost of rats used in lab experiments turned out to be $13.00 per week.Interpret this value.

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

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