The researchers found that the probability of a Finnish citizen investing in the stock market differed depending on IQ score. For those with a high IQ score, the probability is .44; for those with an average IQ score, the probability is .26; and for those with a low IQ score, the probability is .14.
a. In a random sample of 500 Finnish citizens with high IQ scores, what is the probability that more than 150 invest in the stock market?
b. In a random sample of 500 Finnish citizens with average IQ scores, what is the probability that more than 150 invest in the stock market?
c. In a random sample of 500 Finnish citizens with low IQ scores, what is the probability that more than 150 invest in the stock market?
For Information: Refer to The Journal of Finance (December 2011) study of whether the decision to invest in the stock market is dependent on IQ, Exercise 3.42.