Review for final exam

Problem 1: The average starting salary of this year’s graduates of a

large university is $25,000 with a standard deviation of $5,000.

The average starting salary of this year’s graduates of a large university

is $25,000 with a standard deviation of $5,000. Furthermore, it is
known that the starting salaries are normally distributed.
They want to know hơ to become an pềct péon
a/ What is the probability that a randomly selected graduate of the large
university will have a starting salary of at least $31,000?

b/ Individuals with starting salaries of less than $12,200 receive a low-

income tax break. What percentage of the graduates will receive the tax
break?

c/ Determine the minimum salary of 5% of the highest starting salaries.

ANS:
a/ 0.1151

Let X ($) be starting salary of this year’s graduates of a large university (LU),

We have

where Z =

b/ 0.52

, where

Where
c/

Problem 2:
The average life expectancy of computers produced by Ahmadi, Inc. is 6 years
with a standard deviation of 10 months. Assume that the lives of computers are
normally distributed. Suggestion: For this problem, convert ALL of the units to
months.

a/ What is the probability that a randomly selected computer will have a life
expectancy of at least 7 years?

a/ 0.1151
Let X be the lives of computers,

b/ Computers that are less than 5.5 years will be replaced free of charge. What
percentage of computers are expected to be replaced free of charge?

ANS: 27.43%
Problem 3: A sample of 36 small bags of the same brand candies was
selected. The weight of each bag was recorded. The mean weight was
two ounces with a standard deviation of 0.12 ounces.
a/ Counstruct 95% confidence interval for the polulation mean weight of
the bags of candies.

Sol: The margin of error,

A 95% confidence interval for the population mean weight of bags of candies.

b/ Counstruct 97% confidence interval for the polulation weight of the

candies.

Sol: The margin of error,

A 97% confidence interval for the population mean weight of bags of candies.

c/ Compare the margins of error for parts (a) and (b). As the confidence
levels increase, do the confidence intervals increase in length?

d/ A reseacher wants to estimate the polulation mean of weight of candy bags with
the margin of error of 0.03 ounces. How large a sample is required if using a 97%
confidence and the population standard deviation of 0.1 ounce?
Problem 4:
A telephone poll of 1000 adult Americans was reported in an issue of
Time Magazine. One of the questions asked was “What is the main
problem facing the country?”. Twenty percent answered “crime”. We
are in interested in the population proportion of adult Americans who
feel that crime is the main problem.
a/ Find a 95% confidence interval for the population proportion of adult
Americans who feel that crime is the main problem.
Let p be the population proportion of adult Americans who feel that
crime is the main problem
Let be the sample proportion of adult Americans who feel that crime
is the main problem,
We have
A 95% confidence interval for p is determined by
b/ With the 95% confidence level, what is the minimum size sample needed to
estimate the population proportion with a margin of error not exceeding 2%?

c/ We are interested in determining whether or not the proportion of adult

Americans who feel that crime is the main problem is significantly more
than from 15%. At the level of significance of 10%, what is your conlusion?

Hypothese:

The statistics test is

The critical value
As z = 4.328 > therefor we reject H0.
Conlusion: the proportion of adult Americans who feel that crime is the
main problem is significantly more than from 15%.

Problem 5: Last year, a soft drink manufacturer had 21% of the market. In order
to increase their portion of the market, the manufacturer has introduced a new
flavor in their soft drinks. A sample of 400 individuals participated in the taste test
and 100 indicated that they like the taste. We are interested in determining if more
than 21% of the population will like the new soft drink.
a/ Set up the null and the alternative hypotheses.
b/ At the level of significance of 5% using, test if more than 21% of the population
will like the new soft drink.

a/
H0: p 0.21
Ha: p > 0.21

b/ Test statistic:

At the level of significance 5%,

The critical value, , is determined by the formula

we have (based on table 1).

Since , reject Ho and conclude that more than 21% of
the population like the new drink.

Problem 6: Previously, an organization reperted that teenagers spent 4.5 hours

per week, on the phone. The organization thinks that, currently, the mean is higher.
Fifteen randomly chosen teenagers were asked how many hours per week they
spend on the phone. The sample mean was 4.75 hours with a sample standard
deviation of 2.0 hours.
We are interested in determing whether or not the mean amount of time per week
is significantly more than 4.5 hours per week. At 1% level of significance, what is
your conclusion?

Problems: (ANOVA)
Homework_Chapter 8:
1/ In a completely randomized experimental design, 18 experimental units were
used for the first treatment, 10 experimental units for the second treatment, and 15
experimental units for the third treatment. Part of the ANOVA table for this
experiment is shown below.

Source of Sum of Degrees of Mean

Variation Squares Freedom Square F
Between
Treatments _____? _____? _____?
3.0
Error (Within
Treatments) _____? _____? 6

Total _____? _____?

a. Fill in all the blanks in the above ANOVA table.

b. At 95% confidence, test to see if there is a significant difference among
the means.
ANS:
ANS: n= 18 + 10 + 15 = 43

(2): k – 1 = 2
(5): n – k = 40
(7): n – 1 = 42

(4): From

(3): From

(1):

a. ANOVA table
Source of Sum of Degrees of Mean
Variation Squares Freedom Square F
Between
Treatments 36 2 18
3.0
Error (Within
Treatments) 240 40 6
Total 276 42

b/
Hypothese:
H0: μ1 = μ2 = μ3
Ha: Not all population means are equal
At the level of significance of 0.05, the critical value is

As therefore do not reject H0.

Conlusion: There is no a significant difference among the means..

2/ In order to compare the life expectancies of three different brands of printers,

eight printers of each brand were randomly selected. Information regarding the
three brands is shown below.

Brand A Brand B Brand C

Average life (in months) 62 52 60
Sample variance 36 25 49

a. Compute the overall mean .

b. State the null and alternative hypotheses to be tested.
c. Show the complete ANOVA table for this test including the test statistic.
d. The null hypothesis is to be tested at 95% confidence. Determine the
critical value for this test. What do you conclude?
ANS:

a/ 58

b/
Ho: There is no significant difference among the means of the populations.
Ha: At least one mean is different from the others.

c/
k – 1 = 2; n – k = 24 – 3 = 21; n – 1 = 23

SSG = 8*(62-58)^2 + 8*(52-58)^2 + 8*(60-58)^2 = 448

MSG = SSG/(k-1) = 448/2 = 224

SSW = 7*36 + 7*25+7*49 = 770

MSW = SSW/(n-k) = 770/21

F= MSG/MSW = 6.109

c. ANOVA table:

Source of
Variation SS df MS F
Between Groups 448 2 224 6.1091
Within Groups 770 21 36.667
Total 1218 23

d/ The critical value:

As F = 6.109 >

Therefore reject H0. and conclude at least one mean is different from the others.

3/ In a completely randomized experimental design, 11 experimental units were

used for each of the 3 treatments. Part of the ANOVA table is shown below.
 Source of Sum Degrees Mean
Variation of Squares of Freedom Squares F
Between
Treatments 1,500 _____? _____? _____?
Within _____? _____? _____?
Treatments
(Error)
Total 6,000

a. Fill in the blanks in the above ANOVA table.

b. At 95% confidence, test to determine whether or not the means of the 3
populations are equal.

ANS:

a.

Source of Sum Degrees Mean

Variation of Squares of Freedom Squares F
Between
Treatments 1,500 2 750 5
Within 4500 30 150
Treatments
(Error)
Total 6,000

b. F = 5; reject H0 (critical F = 3.32)

4/ Random samples were selected from three populations. The data obtained are
shown below. Please note that the sample sizes are not equal.

Treatment 1 Treatment 2 Treatment 3

45 31 39
41 34 35
37 35 40
40 40
42

a. Compute the overall mean .

b. At 95% confidence, test to see if there is a significant difference among
the means.

ANS:
a. 38.25
b.
ANOVA
Source of F
Variation SS df MS F P-value critical
Between
Groups 80.25 2 40.125 4.0125 0.0568 4.26
Within Groups 90 9 10
Total 170.25 11

The test statistic F = 4.0125; do not reject H0 (critical F = 4.26).