ISL 214E - Statistics II

Prof. Dr. Raziye Selim

selimraziy@itu.edu.tr
WeekI Part 2 Confidence Interval
t Distribution
SAMPLING DISTRIBUTION OF THE PROPORTION
DETERMINING SAMPLE SIZE
 STATISTICS II
Week 1: Sampling
Exercises

1. Suppose we have selected a random sample of n=25 observations from a population with mean equal
to 80 and standard deviation equal to 5. It is known that the population is not extremely skewed.

a) Draw roughly the relative frequency distributions for the population and for the sampling
distribution of the sample mean with main characteristics. Explain how do you draw them?

b) Find the probability that Х will be larger than 82.

2. A manufacturer of automobile batteries claims that the distribution of the lengths of life of its best battery
has a mean of 54 months and a standard deviation of 6 months. Suppose a consumer group decides to
check the claim by purchasing a sample of 50 of these batteries and subjecting them to tests that
determine battery life.

a) Assuming that the manufacturer’s claim is true, describe the sampling distribution of the mean lifetime
of a sample of 50 batteries.

b) Assuming that the manufacturer’s claim is true, what is the probability the consumer group’s sample
has a mean life of 52 or fewer months?

3. According to the University records, 37.5% of students smoke. If random samples of 200 students
are selected,

c) What proportion of samples are likely to have between 35% and 40% who smoke?

d) Within what symmetrical limits of the population percentage will 90% of the sample percentages fall?
4. The personnel manager for North Cyprus Airlines has claimed that, on the average, workers are
asked to work no more than 3 hours overtime per week.
Past studies show the standard deviation in overtime hours per worker to be 1.2 hours.
Suppose the union negotiators wish to test this claim by sampling payroll records for 250 employees. They
believe that the personnel manager’s claim is untrue, but they want to base their conclusion on the sample
results.
The union negotiators found the mean overtime hours per week as 3.15 hours by using 250 employees records.

a) Write the statistical symbols of the numbers in the above case.

b) What is the 95% confidence interval for overtime hours?

c) Could the personnel manager’s claim be rejected according to the result of confidence interval?
5. A bank is interested in extending its automated teller machine service to a new community. As part of
the research prepared as an aid in making the decision, the bank’s management undertakes an experiment
to determine the average amount of a transaction, in dollars per person per day. A random sample of 10
experimental transactions on a trial run to the machine is collected. The following data (in dollars) are the
result.Give a 95%confidence interval for the average amount of a transaction.

Amount of a
transaction
X (dollars)
52
40
39
10
12
60
72
65
50
40