Two of the biggest soft drink rivals, Pepsi and Coke, are very concerned about their market shares. The pie chart that follows claims that PepsiCo's share of the beverage market is 25%.6 Assume that this proportion will be close to the probability that a person selected at random indicates a preference for a Pepsi product when choosing a soft drink.
U.S. Refreshment Beverage Market Share

A group of n = 500 consumers is selected and the number preferring a Pepsi product is recorded. Use the normal curve to approximate the following binomial probabilities.
a. Exactly 150 consumers prefer a Pepsi product.
b. Between 120 and 150 consumers (inclusive) prefer
a Pepsi product.
c. Fewer than 150 consumers prefer a Pepsi product.
d. Would it be unusual to find that 232 of the 500 consumers preferred a Pepsi product? If this were to occur, what conclusions would you draw?

Transcribed Image Text:

PepsiCo 25% Coca-Cola 23% Private l abel 14% 21% 25% 8% O Cadbury Schweppes 9% 9% 23% □ Nestle 8% 14% Other 21%