ASSIGNMENT-2 – BTMU 1093

BTMU 1093 BUSINESS STATISTICS

NAME:

KELAS

GROUP/NO: 1/1 ; 1/2 ; 2/1 ; 2/2 ( )

Answer all the questions.

Question 1. (10 marks)

Gazali Products Scribner Products manufactures flooring materials for the residential
and commercial construction industries. One item they make is a mosaic tile for
bathrooms and showers. When the production process is operating according to
specifications, the diagonal dimension of a tile used for decorative purpose is
normally distributed with a mean equal to 1.5 cm and a standard deviation of 0.05
cm. Before shipping a large batch of these tiles. Scribner quality analysts have
selected a random sample of eight (8) tiles with the following diameters:

1.57 1.59 1.48 1.60 1.59 1.62 1.55 1.52

The analysts want to use these measurements to determine whether the process is
no longer operating within the specification. Help the analysts to justify their answer.

Question 2 (10 marks)

The Starlights company operates retail pharmacies in 10 eastern administrative

districts. Recently, the company’s internal audit department selected a random
sample of 20 prescriptions issued throughout the system. The objective of the
sampling was to estimate the average dollar value of all prescriptions issued by the
company. The following data were collected: x́=RM 14.23, s=3.00

(i) Determine the 90% confidence interval estimate for the true average sales
value for prescriptions issued by the company.

(ii) Interpret the interval estimate.

Question 3 (10 marks)

Find the values of for which the area of the right-hand tail of the distribution is 0.05, if
the number of degrees of freedom v is equal to (a) 15, (b) 21, (c) 30 (d) 50 and the
table to find the values of χ 20.95 .

Using the table in Appendix 1, the values are as follows:

(a) 25.0;
(b) 32.7;
(c) 43.8:
(d) 67.5.

Question 4 (10 marks)

A random sample of 50 mathematics grades out of a total of 200 showed a mean of

75 and a standard deviation of 10.

σ N −n
Formula: Confident Interval Estimation = X́ ± z
√
√ n N −1

Z
99% 2.575
95% 1.96
90% 1.645
80% 1.28

(a) Compute the 95% confidence limits for the mean of the 200 grades.

(b) Calculae the degree of confidence where the mean of all is 200 grades
Question 5 (20 marks)

The nurse in hospital suggested a new procedure to replace the existing procedure.
The mean recovery rate of the surgery in the existing procedure is 142 days with
standard deviation 15 days. To test whether the new procedure results in a lower
mean recovery time, there are 36 patients taken as a sample where the level of
significance is 0.05.

Patient Patient Patient

s Days s Days s Days
1 140 13 143 25 145
2 141 14 148 26 146
3 151 15 135 27 129
4 148 16 136 28 140
5 143 17 122 29 136
6 138 18 142 30 138
7 129 19 125 31 153
8 127 20 145 32 140
9 128 21 140 33 139
10 139 22 132 34 146
11 145 23 134 35 138
12 161 24 162 36 143

(a) Formulate the hypotheses

H 0 :μ=142
H A : μ ≠142

(b) Determine the z values based on table for 0.05

Z 0.05=1.645

(c) Calculate the means of the 36 patients data taken (in 1 decimal)

X=
∑ x = ∑ x = 5047 =140.2
n n 36

(d) Compute the value of z

x−μ 140.2−142
z= = =−0.72
σ 15
√n √ 36

(e) Draw the graph that show whether the hypothesis rejected or do not rejected
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APPENDIX 1