ASSIGNMENT

Course Code : MS 08
Course Title : Quantitative Analysis for Managerial Applications
Assignment No. : 08/TMA/SEM-II/2009
Coverage : All Blocks

Note: Attempt all the questions and send it to the coordinator of the study centre, you are
attached with.

1. Write a detailed note on Normal Distribution, Standard Normal Variety and the Central
Limit Theorem. Illustrate the concepts with the help of diagrams.

2. From the following data compute quartile deviation and the coefficient of skewness:

Size 4.5-7.5 7.5-10.5 10.5-13.5 13.5-16.5 16.5-19.5

Frequency 14 24 38 20 4

3. A bank has a test designed to establish the credit rating of a loan application. If the
persons, who default (D), 90% fail the test (F). Of the persons, who will repa the bank
(ND), 5 % fail the test. Furthermore, it is given that 4% of the population is not worthy of
credit (i.e. defaulters). Given that someone failed the test, what is the probability that he
actually will default (When given the loan)?

4. Two laboratories A and B carry out independent estimates of fat content in ice cream
made by a firm. A sample taken from each batch gives the following fat content:

Batch No- 1 2 3 4 5 6 7 8 9 10
Lab A 7 8 7 3 8 6 9 4 7 8
Lab B 9 8 8 4 7 7 9 6 6 6

Is there a significant difference between the mean fat-content obtained by the two
laboratories A and B?
5. Given the bivariate data:

3
 X 1 5 3 2 1 1 7 3
Y 6 1 0 0 1 2 1 5

a. Fit a regression line of Y on X and hence predict Y if X=10

b. Fit a regression line of X on Y and hence predict X if Y =2.5