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Statistics for Decision- Making in Business - Maricopa Community ...

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( ) ( ) ( ) ( )<br />

Example 2: A fair, 6-sided die is rolled 8 times. The goal is to roll a 1 or a 2 four times dur<strong>in</strong>g<br />

the experiment.<br />

SOLUTION:<br />

a) Is this a b<strong>in</strong>omial experiment<br />

b) In how many different ways can this event occur<br />

c) What is the probability of this event<br />

a) A success is classified as roll<strong>in</strong>g a 1 or a 2. A failure is classified as roll<strong>in</strong>g a 3, 4, 5, or 6.<br />

Thus, . There are trials and the probability of a success is always , s<strong>in</strong>ce<br />

the 8 outcomes are <strong>in</strong>dependent. Thus, this is <strong>in</strong>deed a b<strong>in</strong>omial experiment.<br />

b) It is possible to have a success occur <strong>in</strong> . / different ways.<br />

c) Let be the number of successes possible. Then * +.<br />

( ) . / ( ) ( )<br />

. / ( ) ( )<br />

There is about a 17% chance of gett<strong>in</strong>g a 1 or 2 on four out of 8 die rolls.<br />

A question that follows from Example 2: is, what does the distribution look like Let‟s develop<br />

the distribution <strong>in</strong> tabular <strong>for</strong>m first. To do this, we calculate b<strong>in</strong>omial probabilities <strong>for</strong> each of<br />

the 9 possible outcomes (anywhere between 0 and 8 successes possible).<br />

Successes Probability<br />

0 0.039<br />

1 0.156<br />

2 0.273<br />

3 0.273<br />

4 0.171<br />

5 0.068<br />

6 0.017<br />

7 0.002<br />

8 0.000<br />

<strong>Statistics</strong> <strong>for</strong> <strong>Decision</strong>-<strong>Mak<strong>in</strong>g</strong> <strong>in</strong> Bus<strong>in</strong>ess © Milos Podmanik Page 153

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