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uestion 1

1.

A government environmental agency is interested in methods that will encourage energy conservation by householdswithin the country. They want to conduct an experiment in order to test whether the provision of in-house devices that provide an instantaneous indication of current household electricity consumption will lead to reductions in electricityconsumption. The sample design to investigate this research question is to track a sample of customers who volunteer to have the devices installed and then compare mean annual electricity consumption before and after the installation.The only problem with this proposed sample design is that the customers are volunteers.Answer True

False

1 points

Question 2

1.

Let possible level of returns from a portfolio of shares be classified as low, medium or high. The table below showsthe marginal probability distribution for returns.

Returns

low medium high

Probability

0.5

p

p

What should

p

equal in order for this to be a valid probability distribution? (Your answer should be correct to twodecimal places.)Answer

0.25

1 points

Question 3

1.

The following joint distribution that has been constructed using data from the 1995 NationalHealth Survey conducted by the Australian Bureau of Statistics. This is a large, nationallyrepresented survey of Australians. The data in the Table refer to whether an individual hasused any medications in the last 2 weeks prior to interview and their self-assessed healthstatus (SAHS). For SAHS individuals are asked to rate their current health on a five-levelscale ranging from poor to excellent.

Table : Joint frequency distribution of self assessed health and use of medications forAustralians in 1995

Self-assessed health

Excellent

Verygood

Good

Fair

Poor

Totals

Usemedication

10.7

20.7

20.0

9.7

3.5

64.6

Nomedication

9.4

13.7

9.7

2.2

0.4

35.4

Totals

20.1

34.4

29.7

11.9

3.9

100.0

Using the distribution as an estimate of the population distribution, w

hich of the following is not correct?

Answer

The probability that a randomly selected Australian did not use medication in the last two weeks is 0.354The probability that a randomly selected Australian is in fair health is 0.119Australians in poor health are much more likely to be using medications than not using medicationsThe conditional probability of being in excellent health given not using medications is equal to the probabilityof being in excellent health.

1 points

Question 4

1.

Let

X

represent the number of visits to a GP over the last 12 months. From past records of patients, the GP hasconstructed the following probability distribution for

X

.

x

0 1 2 3 4P(

X

=

x

) 0.5 0.2 0.1 0.1 0.1What is the expected number of visits given that a patient has had at least one visit? (Your answer should be correct toone decimal place.)Answer

1.1

1 points

Question 5

1.

Consider a coin tossing game where you win 7 dollars if a head appears on a single toss of a fair coinbut you lose 7 dollars if a tail appears. Let the random variable

R

represent the return on a single toss.What is the variance of

R

?

Answer

49

1 points

Question 6

1.

Suppose 0.3 of the graduates of a job training centre receive lower paying jobs than they had prior to entering the jobtraining program. In a random sample of six graduates, what is the probability that exactly four have jobs paying morethan they earned before entering the program? (Your answer should be correct to four decimal places.)Answer

0.0595

1 points

Question 7

1.

Let

p

be the probability of success in a binomial experiment. Of the following values of

p

, which one will produce a binomial probability distribution with the smallest standard deviation, given that the sample size (

n

) is the same ineach case?Answer

=0.8=0.3=0.7=0.5

1 points

Question 8

1.

It is known that 55% of your local electorate voted for the political party in government at a recent election. In arandom sample of eight drawn from the local electorate, what is the probability that more than four voted for the partyin government? (Your answer should be correct to four decimal places.)Answer .7396.7799.9115.4770

1 points

Question 9

1.

From considerable past experience, a student knows that the time elapsed between placement of a pizza order anddelivery of the pizza is uniformly distributed between 10 and 40 minutes. What proportion of pizza deliveries take between 20 and 40 minutes? (Your answer should be correct to two decimal places.)Answer

0.67

1 points

Question 10

1.

The binomial distribution is often used to represent the mix of females and males in families of size

n

. A potentialthreat to using the binomial as a model to approximate the gender mix in families is the fact that historical dataindicates that females are slightly less likely to be born than males.Answer True

False