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mathematics
statistics
Statistics For Management And Economics Abbreviated 10th Edition Gerald Keller - Solutions
The president of a large company is in the process of deciding whether to adopt a lunch-time exercise program. The purpose of such programs is to improve the health of workers and, in so doing, reduce medical expenses. To get more information, he instituted an exercise program for the employees in
One measure of the state of the economy is the amount of money homeowners pay on their mortgage each month. To determine the extent of change between this year and 5 years ago, a random sample of 150 homeowners was drawn. The monthly mortgage payments for each homeowner for this year and for 5
Do waiters or waitresses earn larger tips? To answer this question, a restaurant consultant undertook a preliminary study. The study involved measuring the percentage of the total bill left as a tip for one randomly selected waiter and one randomly selected waitress in each of 50 restaurants during
To determine the effect of advertising in the Yellow Pages, Bell Telephone took a sample of 40 retail stores that did not advertise in the Yellow Pages last year but did so this year. The annual sales (in thousands of dollars) for each store in both years were recorded.a. Estimate with 90%
Because of the high cost of energy, home-owners in northern climates need to find ways to cut their heating costs. A building contractor wanted to investigate the effect on heating costs of increasing the insulation. As an experiment, he located a large sub-development built around 1970 with
The cost of health care is rising faster than most other items. To learn more about the problem a survey was undertaken to determine whether differences in health care expenditures exist between men and women. The survey randomly sampled men and women aged 21, 22,..., 65 and determined the total
The fluctuations in the stock market induce some investors to sell and move their money into more stable investments. To determine the degree to which recent fluctuations affected ownership, a random sample of 170 people who confirmed that they owned some stock was surveyed. The values of the
Are Americans more deeply in debt this year compared to last year? To help answer this question a statistics practitioner randomly sampled Americans this year and last year. The sampling was conducted so that the samples were matched by the age of the head of the household. For each, the ratio of
Every April Americans and Canadians fill out their tax return forms. Many turn to tax preparation companies to do this tedious job. The question arises, Are there differences between companies? In an experiment two of the largest companies were asked to prepare the tax returns of a sample of 55
Refer to Exercise 13.33. Suppose now we redo the experiment in the following way. On 20 randomly selected cars, one of each type of tire is installed on the rear wheels and as before, the cars are driven until the tires wear out. The number of miles until wear-out occurred was recorded. Can we
Refer to Examples 13.4 and 13.5. Suppose that another experiment is conducted. Finance and marketing MBA majors were matched according to their undergraduate GPA. As in the previous examples, the highest starting salary offers were recorded. Can we infer from these data that finance majors attract
Refer to Example 13.2. The actual after and before operating incomes were recorded.a. Test to determine whether there is enough evidence to infer that for companies where an offspring takes the helm there is a decrease in operating income.b. Is there sufficient evidence to conclude that when an
The general trend over the last century is that each generation is more educated that its predecessor. Has this trend continued? To answer this question determine whether there is sufficient evidence that Americans are more educated than their fathers (EDUC and PAEDUC)?
Is there sufficient evidence to infer that Americans are more educated than their mothers (EDUC and MAEDUC)?
Estimate with 95% confidence the average difference between the amount of time spent watching or reading news on the Internet (TIME1) and the amount of time spent reading news in a printed newspaper (TIME3) during a typical day.
Estimate with 95% confidence the average difference between the amount of time spent watching news on television (not including sports) (TIME2) and the amount of time spent reading news in a printed newspaper (TIME3) during a typical day.
Random samples from two normal populations produced the following statistics:a. Can we infer at the 10%significance level that the two population variances differ?b. Repeat part (a) changing the sample sizes to n1 = 15 and n2 = 15.c. Describe what happens to the test statistic and the conclusion
Random samples from two normal populations produced the following statistics:a. Estimate with 95% confidence the ratio of the two population variances.b. Repeat part (a) changing the sample sizes to n1 = 25 and n2 = 25.c. Describe what happens to the width of the confidence interval estimate when
The manager of a dairy is in the process of deciding which of two new carton-filling machines to use. The most important attribute is the consistency of the fills. In a preliminary study she measured the fills in the 1-liter carton and listed them here. Can the manager infer that the two machines
An operations manager who supervises an assembly line has been experiencing problems with the sequencing of jobs. The problem is that bottlenecks are occurring because of the inconsistency of sequential operations. He decides to conduct an experiment wherein two different methods are used to
A statistics professor hypothesized that not only would the means vary, but also so would the variances if the business statistics course was taught in two different ways but had the same final exam. He organized an experiment wherein one section of the course was taught using detailed PowerPoint
A new highway has just been completed and the government must decide on speed limits. There are several possible choices. However, on advice from police who monitor traffic the objective was to reduce the variation in speeds, which it is thought to contribute to the number of collisions. It has
In Exercise 12.78 we described the problem of whether to change all the light bulbs at Yankee Stadium or change them one by one as they burn out. There are two brands of bulbs that can be used. Because both the mean and the variance of the lengths of life are important, it was decided to test the
In deciding where to invest her retirement fund, an investor recorded the weekly returns of two portfolios for 1 year. Can we conclude that portfolio 2 is riskier than portfolio 1?
An important statistical measurement in service facilities (such as restaurants and banks) is the variability in service times. As an experiment, two bank tellers were observed, and the service times for each of 100 customers were recorded. Do these data allow us to infer at the 10% significance
Random samples from two binomial populations yielded the following statistics:p̂1 = .45 n1 = 100 p̂2 = .40 n2 = 100a. Calculate the p-value of a test to determine whether we can infer that the population proportions differ.b. Repeat part (a) increasing the sample sizes to 400.c. Describe what
These statistics were calculated from two random samples:p̂1 = .60 n1 = 225 p̂2 = .55 n2 = 225a. Calculate the p-value of a test to determine whether there is evidence to infer that the population proportions differ.b. Repeat part (a) with p̂1 = .95 and p̂2 = .90.c. Describe the effect on the
After sampling from two binomial populations we found the following.p̂1 = .18 n1 = 100 p̂2 = .22 n2 = 100a. Estimate with 90% confidence the difference in population proportions.b. Repeat part (a) increasing the sample proportions to .48 and .52, respectively.c. Describe the effects of increasing
Many stores sell extended warranties for products they sell. These are very lucrative for store owners. To learn more about who buys these warranties a random sample of a store’s customers who recently purchased a product for which an extended warranty was available was drawn. Among other
A firm has classified its customers in two ways:(1) According to whether the account is overdue and(2) Whether the account is new (less than 12 months) or old.To acquire information about which customers are paying on time and which are overdue, a random sample of 292 customer accounts was drawn.
One hundred normal-weight people and 100 obese people were observed at several Chinese-food buffets. For each researcher’s recorded whether the diner used chopsticks or knife and fork. The table shown here was created.Is there sufficient evidence at the 10% significance level to conclude
Surveys have been widely used by politicians around the world as a way of monitoring the opinions of the electorate. Six months ago, a survey was undertaken to determine the degree of support for a national party leader. Of a sample of 1,100, 56% indicated that they would vote for this politician.
The process that is used to produce a complex component used in medical instruments typically results in defective rates in the 40% range. Recently, two innovative processes have been developed to replace the existing process. Process 1 appears to be more promising, but it is considerably more
Cold and allergy medicines have been available for a number of years. One serious side effect of these medications is that they cause drowsiness, which makes them dangerous for industrial workers. In recent years, a non-drowsy cold and allergy medicine has been developed. One such product,
Plavix is a drug that is given to angioplasty patients to help prevent blood clots. A researcher at McMaster University organized a study that involved 12,562 patients in 482 hospitals in 28 countries. All the patients had acute coronary syndrome, which produces mild heart attacks or unstable
In a study that was highly publicized, doctors discovered that aspirin seems to help prevent heart attacks. The research project, which was scheduled to last for 5 years, involved 22,000 American physicians (all male). Half took an aspirin tablet three times per week, while the other half took
Exercise 13.141 described the experiment that determined that taking aspirin daily reduces one’s probability of suffering a heart attack. The study was conducted in 1982 and at that time the mean age of the physicians was 50. In the years following the experiment the physicians were monitored for
According to the Canadian Cancer Society more than 21,000 women will be diagnosed with breast cancer every year and more than 5,000 will die. (U.S. figures are more than 10 times those in Canada.) Surgery is generally considered the first method of treatment. However, many women suffer recurrences
A study described in the British Medical Journal (January 2004) sought to determine whether exercise would help extend the lives of patients with heart failure.A sample of 801 patients with heart failure was recruited; 395 received exercise training and 406 did not. There were 88 deaths among the
Cell Phone Experiment 1Is there enough evidence to infer that women drivers in a following car are more likely to honk when the lead car driver is using a cellphone?
Cell Phone Experiment 2Can we conclude that male drivers are more likely to honk when the lead car driver is using a cellphone?
Expensive Car ExperimentDo these figures allow us to conclude that drivers behind expensive cars are less likely tohonk?
Gender Experiment 1Can we conclude from these statistics that women are less likely tohonk?
Gender Experiment 2Can we conclude from these statistics that women are less likely tohonk?
Convertible ExperimentIs there enough evidence to draw the inference that drivers of convertibles are less likely tohonk?
Automobile magazines often compare models and rate them in various ways. One question that is often asked of car owners, would you buy the same model again? Suppose that a researcher for one magazine asked a random sample of Lexus owners and a random sample of Acura owners whether they plan to buy
An insurance company is thinking about offering discounts on its life insurance policies to nonsmokers. As part of its analysis, the company randomly selects 200 men who are 60 years old and asks them whether they smoke at least one pack of cigarettes per day and if they have ever suffered from
Has the illicit use of drugs decreased over the past 10 years? Government agencies have undertaken surveys of Americans 12 years of age and older. Each was asked whether he or she used drugs at least once in the previous month. The results of this year’s survey and the results of the survey
It has been estimated that the oil sands in Alberta Canada contain 2 trillion barrels of oil. However, recovering the oil damages the environment. A survey of Canadians and Americans was asked, what is more important to you with regard to the oil-sands, environmental concerns (1), or the potential
An operations manager of a computer chip maker is in the process of selecting a new machine to replace several older ones. Although technological innovations have improved the production process it is quite common for the machines to produce defective chips. The operations manager must choose
Parents often urge their children to get more education, not only for the increased income but to perhaps work less hard. In a survey asked a random sample of Canadians whether they work 11 or more hours a day 1 = No, 2 = Yes) and whether they completed high school only or completed post-secondary
Are Americans becoming more unhappy at work? A survey of Americans in 2008 and again this year asked whether he or she was satisfied with their jobs (1 = No, 2 = Yes). Can we infer that more Americans are unhappy compared to 2008?
In Chapters 3 and 4, we described the issue of global warming pointing out that the Earth has not warmed since 1998, explaining why the media now refer to the problem as climate change, and that there is a weak linear relationship between temperature anomalies and CO2 levels. In the last few years
One of the issues in the U.S. presidential election in 2012 was the Keystone XL pipeline, which would send Canadian oil to the refineries in Texas. Pew Research Center conducted a survey of American adults and asked each whether he or she was in favor (1) or opposed (2) to the pipeline. The survey
The market for breakfast cereals has been divided into several segments related to health. One company identified a segment as those adults who are health conscious. The marketing manager would like to know whether this segment is more likely to purchase its Special X cereal that is pitched toward
Quik Lube is a company that offers oil change service while the customer waits. Its market has been broken down into the following segments:1. Working men and women too busy to wait at a dealer or service center2. Spouses who work in the home3. Retired persons4. OtherA random sample of car owners
Telemarketers obtain names and telephone numbers from several sources. To determine whether one particular source is better than a second, a random sample of names and numbers from the two different sources was obtained.For each potential customer, a statistics practitioner recorded whether that
A generation ago men were more likely to attend university and acquire a graduate degree than women. However, women now appear to be attending university in greater numbers than men. To gauge the extent of the difference test to determine whether men and women differ in completing a graduate degree
The deep recession of 2008–2010 may have changed patterns of employment. Because of the large number of layoffs an increasing number of individuals have chosen to work for themselves. The question arises; do men and women differ in their decision to work for themselves (WRKSLF: 1 = Self-employed,
Is there enough statistical evidence to infer that women more likely to work for the government (WRKGOVT: 1 = Government, 2 = Private enterprise) than men?
Half a century ago men were far more likely to be the breadwinner and women were far more likely to be homemakers. Has this changed or are men still more likely than women to work full time outside the home (WRKSTAT: 1 = Working full time, 2–8 = Other)? Perform a statistical test to answer the
Is there sufficient evidence to conclude that Republican Party supporters are more likely to be working full time (WRKSTAT: 1 = Full time, 2-8 = Other) than Democratic Party supporters?
In theory, Democrats support larger government. Can we infer from the data that Democratic Party supporters are more likely to work for the government (WRKGOVT: 1 = Government, 2 = Private enterprise)?
In theory, Republicans are more supportive of free enterprise. Do the data allow us to infer that Republican Party supporters are more likely to work for themselves (WRKSLF: 1 = Work for themselves, 2 = Other) than Democratic Party supporters?
Who is more likely to be working full time (WRKSTAT: 1 = Full time, 2-8 = Other)? Conduct a test to determine whether there are differences between married and never married American adults.
Is there enough statistical evidence to conclude that married people are more likely to work for themselves (WRKSLF: 1 = Work for themselves, 2 = Work for someone else) than married people?
Can we infer from the data that married and never married people differ in their completion of a graduate degree (DEGREE: 4 = Graduate degree, 1-3 = Other)?
In theory working for the government means that job security is greater than working for private enterprise. Are married people more likely to work for the government (WRKGOVT: 1 = Government, 2 = Other) than do never married people?The next three exercises compare American residents who were born
Is there enough statistical evidence to conclude that people born in the United States are more likely to work for the government (WRKGVT: 1 = Government, 2 = Other) than people born outside the United States?
Are foreign-born people more likely to work for themselves (WRKSLF: 1 = Work for themselves, 2 = Work for someone else) than Americans born in the United States? Conduct a test to answer the question.
Is there sufficient evidence to conclude that foreign-born people are more likely to have a graduate degree (DEGREE: 4 = Graduate, 1-3 = Other) than people born in the United States?
A doctor tells a couple that there is one chance in four that their child will have an inherited disease. Does this mean that if the first child has the illness, the next three will not (ODDS1: 1 = Yes, 2 =No)? Correct answer: No.
A doctor tells a couple that there is one chance in four that their child will have an inherited disease. Does this mean that each of the couple’s children will have the same risk of suffering the illness (ODDS2: 1 = Yes, 2 = No)? Correct answer: Yes.
True or false, the center of the earth is very hot (HOTCORE: 1 = True, 2 = False)? Correct answer: True.
Does the Earth go around the Sun, or does the Sun go around the Earth (EARTHSUN: 1 =Earth around Sun, 2 = Sun around Earth)? Correct answer: Earth around Sun.
Likely to be employed (EMPLOY: 1 = Working now, 2- 8 = Other categories).
Have health insurance (HEALTH 1 = Yes, 5 = No).
Always vote (OFTEN: 1 = Always; 2, 3, 4 = Other categories).
Obesity among children is quickly becoming an epidemic across North America. Television and video games are part of the problem. To gauge to what extent nonparticipation in organized sports contributes to the crisis surveys of children 5 to 14 years old were conducted this year and 10 years ago.
A restaurant located in an office building decides to adopt a new strategy for attracting customers to the restaurant. Every week it advertises in the city newspaper. To assess how well the advertising is working, the restaurant owner recorded the weekly gross sales for the 15 weeks after the
Every year, the Bureau of Labor Statistics administers a survey of American households called the American Time Use Survey. Respondents are asked to report their activities during an entire 24-hour day. The results are used to determine the number of hours respondents work in a typical week. The
How important to your health are regular vacations? In a study a random sample of men and women were asked how frequently they take vacations. The men and women were divided into two groups each. The members of group 1 had suffered a heart attack; the members of group 2 had not. The number of days
Research scientists at a pharmaceutical company have recently developed a new nonprescription sleeping pill. They decide to test its effectiveness by measuring the time it takes for people to fall asleep after taking the pill. Preliminary analysis indicates that the time to fall asleep varies
The city of Toronto boasts four daily newspapers. Not surprisingly, competition is keen. To help learn more about newspaper readers, an advertiser selected a random sample of people who bought their newspapers from a street vendor and people who had the newspaper delivered to their homes. Each was
In recent years, a number of state governments have passed mandatory seat-belt laws. Although the use of seat belts is known to save lives and reduce serious injuries, compliance with seat-belt laws is not universal. In an effort to increase the use of seat belts, a government agency sponsored a
An important component of the cost of living is the amount of money spent on housing. Housing costs include rent (for tenants), mortgage payments and property tax (for home owners), heating, electricity, and water. An economist undertook a 5-year study to determine how housing costs have changed.
In designing advertising campaigns to sell magazines, it is important to know how much time each of a number of demographic groups spends reading magazines. In a preliminary study, 40 people were randomly selected. Each was asked how much time per week he or she spends reading magazines;
In a study to determine whether gender affects salary offers for graduating MBA students, 25 pairs of students were selected. Each pair consisted of a female and a male student who were matched according to their GPAs, courses taken, ages, and previous work experience. The highest salary offered
Have North Americans grown to distrust television and newspaper journalists? A study was conducted this year to compare what Americans currently think of the press versus what they said 3 years ago. The survey asked respondents whether they agreed that the press tends to favor one side when
Before deciding which of two types of stamping machines should be purchased, the plant manager of an automotive parts manufacturer wants to determine the number of units that each produces. The two machines differ in cost, reliability, and productivity. The firm’s accountant has calculated that
Refer to Exercise 13.195. Can we conclude that the defective rate differs between the two machines?
The growing use of bicycles to commute to work has caused many cities to create exclusive bicycle lanes. These lanes are usually created by disallowing parking on streets that formerly allowed curbside parking. Merchants on such streets complain that the removal of parking will cause their
Researchers at the University of Ohio surveyed 219 students and found that 148 had Facebook accounts. All students were asked how for their current GPA. Do the data allow us to infer that Facebook users have lower GPAs?
Clinical depression is linked to several other diseases. Scientists at Johns Hopkins University undertook a study to determine whether heart disease is one of these. A group of 1190 male medical students was tracked over a 40-year period. Of these, 132 had suffered clinically diagnosed depression.
High blood pressure (hypertension) is a leading cause of strokes. Medical researchers are constantly seeking ways to treat patients suffering from this condition. A specialist in hypertension claims that regular aerobic exercise can reduce high blood pressure just as successfully as drugs, with
Most people exercise in order to lose weight. To determine better ways to lose weight, a random sample of male and female exercisers was divided into groups. The first group exercised vigorously twice a week. The second group exercised moderately four times per week. The weight loss for each
After observing the results of the test in Exercise 13.201, a statistics practitioner organized another experiment. People were matched according to gender, height, and weight. One member of each matched pair then exercised vigorously twice a week and the other member exercised moderately four
Pass the Lotion, a long-running television commercial for Special K cereal, features a flabby sunbather who asks his wife to smear sun lotion on his back. A random sample of Special K customers and a random sample of people who do not buy Special K were asked to indicate whether they liked (code =
Refer to Exercise 13.203. The respondents were also asked whether they thought the ad would be effective in selling the product. The responses (1 = Yes, 2 = No) were recorded. Can we infer that Special K buyers are more likely to respond yes than non-buyers?
Most English professors complain that students don’t write very well. In particular they point out that students often confuse quality and quantity. A study at the University of Texas examined this claim. In the study undergraduate students were asked to compare the cost benefits of Japanese and
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