- Page 2 and 3: Foreword: What is This Book Good Fo
- Page 4 and 5: Table of Contents Chapter Section C
- Page 6 and 7: ased on their numerical results. Mo
- Page 8 and 9: The most powerful type of variable
- Page 10 and 11: It may not come as a large shock th
- Page 12 and 13: 5. The article “Television‟s Va
- Page 14 and 15: Frequency Account Type New 27% Old
- Page 16 and 17: Example 1: For the example consider
- Page 18 and 19: First off, a researcher must decide
- Page 20 and 21: d. Is the firm‟s goal to conduct
- Page 22 and 23: Account Type Revenue ($) New $5,296
- Page 24 and 25: = sum(B2:B12) This tells Excel to s
- Page 26 and 27: Suppose that this company assumes t
- Page 28 and 29: Agrees w/Policy Change Years at Com
- Page 30 and 31: To represent the data to his shareh
- Page 32 and 33: In G12, we would like the sum of th
- Page 34 and 35: We are now prepared to construct vi
- Page 36 and 37: To add a suitable title, click “C
- Page 38 and 39: Frequency You can label the graph b
- Page 40 and 41: Relative Frequency Guest Opinions o
- Page 42 and 43: 6. Suppose you are the owner of an
- Page 44 and 45: Frequency We clearly see that most
- Page 46 and 47: When highlighted, a “PivotTable F
- Page 48 and 49: We can double-check that these valu
- Page 50 and 51: Frequency We make a few adjustments
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To change frequency to relative fre

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Frequency 10 9 8 7 6 5 4 3 2 1 0 Hi

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2.3 Descriptive Statistics - Center

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We begin by listing them in ascendi

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Not surprisingly, the 50 th percent

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Thus, his salary is in the 30 th pe

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To use the “Rank and Percentile

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a. Compare the mean and median of e

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them. However, observe that the sum

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If the deviations are small (good t

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Values (thous. $) 95 875 96 89 87 8

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2.4.6 Shapes of Distributions Now t

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3 4 3 2 3 2 1 1 0 4 0 4 4 4 3 1 0 1

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The idea of a -score is quite helpf

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5. The Highway Loss Data Institute

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3.1 The Idea of Probability In this

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conditions in the long-run. Measuri

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When answering these questions, it

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Determine the probability that a ma

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Because of the amount of resources

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Example 3: The idea of red-light ca

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In fact, recall Example 5 dealing w

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Suppose that an emergency room in N

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guessing correctly. This, of course

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For reporting purposes, he would li

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Given two events, and , the probabi

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We find that there is a 62.5% chanc

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grade (some still did well in the c

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( ̅) Conditional Probability The c

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Example 4: Suppose that Company 1 (

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Independence Property Given two eve

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Conditional probability is quite us

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( ) ( ) ( ) ( ) Since only one truc

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We assume that each parent is equal

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This definition is great, but it st

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1 st Bushel 2 nd Bushel U1 U1 U2 C

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( ) And this is precisely what we h

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SOLUTION: We first think about what

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Example 5: In Example 4:, it was ne

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OBJECT 1 Object 1 Object 2 Object 3

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Object 2 Object 3 Object 4 Object 5

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a. First, how many different credit

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This amount looks very good! In fac

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This means that, after selling this

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Average Die Roll Outcome , - ( ) (

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( ) ( )( ) ( ) Our probability dist

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that this situation will result in

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Chapter 4 Discrete Probability Dist

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This is definitely a small probabil

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( ) ( ) We rewrite our formula with

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Probability Successes Probability 0

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Probability We see clearly that the

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c) The expected value is, , - ( ) .

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Probability (Relative Frequency) Ch

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In this case: minutes spent waiting

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Density One question does remain, h

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The area of this region is: Thus, t

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We get: ( ) There is about a 12% ch

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Then the sum of the two triangular

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Use the fact that the figure can be

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5.2 The Normal Distribution 5.2.1 T

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As we notice, this table only shows

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The value we find is 0.8729. This m

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As technology progresses, there is

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a. Determine the probability that a

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Probability 0.18 0.16 0.14 0.12 0.1

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First off, we notice there is sampl

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2.2 to 2.3 2.3 to 2.4 2.4 to 2.5 2.

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, ̅- √ For example, √ That is

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One major oversight of our exciteme

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1 1 18 22 25 27 30 18 21 2 3 19 20

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22.2666666666667 to 22.766666666666

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whether or not we have captured the

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̅ This will work much like the sta

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√ Upper limit: √ Similarly, the

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̂ ̅ √ Where is the number of st

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0.433333333333333 to 0.483333333333

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, ̂- √ ( ) The number of standar

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But, how do we do so if there exist

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Population Parameters In a study, w

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Without some sort of analysis, we m

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Hypothesis Test Conclusion Our chos

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Hypothesis Test Conclusion The impo

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Structure of a Hypothesis Test The

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APPENDIX A Answers to Select Proble

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2. b. Q3 - Q1 = 4.75. The middle 50

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Relative Frequency Street Lengths M

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35 30 25 20 15 10 5 0 100 to 120 12

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el freq CC Ratios Mean 12.35 Standa

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1. See Video Solution 2. a. About 8

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. ( ) ( ) c. ( ) ( ) ( ) d. ( ) 5.

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c. d. Statistics for Decision-Makin

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c. The long-run proportion of all c

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3. a. 50% of students score less th

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. The Empirical Rule is a summary o

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2. Answers vary 3. a. No, the sampl

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Thus, our interval is: ( ) Or ( ) T

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2) Decision Rule: We will reject th