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According to the Current Population Survey (Internet release date: September 15,2004\(), 55 \%\) of males between the ages of 18 and 24 years lived at home in \(2003 .\) (Unmarried college students living in a dorm are counted as living at home.) Suppose a survey is administered today to 200 randomly selected males between the ages of 18 and 24 years. and 130 of them respond that they live at home. (a) Approximate the probability that such a survey will result in at least 130 of the respondents living at home under the assumption that the true percentage is \(55 \%\). (b) What does the result from part (a) suggest?

Short Answer

Expert verified
The probability is 0.0022, suggesting the true percentage of males living at home might be different from 55%.

Step by step solution

01

- Define the problem variables

Let the number of males surveyed be 200, and let the number of males who responded that they live at home be 130. We are to approximate the probability that 130 or more out of 200 randomly selected males will respond that they live at home if the true percentage is 55%.
02

- Define the binomial distribution parameters

We use the binomial distribution to model the number of males living at home. Let the probability of a male living at home be denoted as p = 0.55. The number of trials, n = 200.
03

- Find the mean and standard deviation

The mean of a binomial distribution is given by \(\text{mean} = n \times p\). Therefore, the mean is \[\text{mean} = 200 \times 0.55 = 110\]. The standard deviation of the binomial distribution is given by \(\text{std} = \sqrt{n \times p \times (1 - p)}\). Therefore, the standard deviation is \[\text{std} = \sqrt{200 \times 0.55 \times 0.45} \approx 7.03\].
04

- Convert the binomial to a normal distribution

Since n is large, the binomial distribution can be approximated using a normal distribution with the same mean and standard deviation. Thus, we approximate the binomial distribution by \(\text{N}(110, 7.03)\).
05

- Find the z-score

We convert the value of 130 living at home to a z-score using the formula \(\text{z} = \frac{x - \text{mean}}{\text{std}}\) where x is the value of interest. Substituting the values, we get: \[\text{z} = \frac{130 - 110}{7.03} \approx 2.85\].
06

- Find the probability using the z-score

Using the standard normal table, we find the probability corresponding to the z-score of 2.85. The table gives us the probability to the left of the z-score. For \(\text{z} = 2.85\), the probability is approximately 0.9978. Thus, the probability of getting a value less than 130 is 0.9978.
07

- Calculate the complementary probability

The probability of getting 130 or more respondents is the complement of the previously found probability. Thus, we subtract from 1: \[\text{P}(X \geq 130) = 1 - 0.9978 = 0.0022\].
08

- Interpretation of the result for part (b)

The result means that it is highly unlikely (with a probability of 0.0022) that we would observe 130 or more respondents living at home if the true percentage of males living at home is actually 55%. This suggests that our initial assumption may be incorrect.

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Key Concepts

These are the key concepts you need to understand to accurately answer the question.

Normal Approximation
In statistics, we often deal with large sample sizes. In such cases, the binomial distribution can be approximated using a normal distribution. This technique simplifies calculations because the normal distribution has well-established properties and tables.

The key idea is to use a normal distribution with the same mean and standard deviation as the binomial distribution. In the exercise, the mean is calculated as \(\text{mean} = n \times p = 200 \times 0.55 = 110\).The standard deviation is \(\text{std} = \sqrt{n \times p \times (1 - p)} = \sqrt{200 \times 0.55 \times 0.45} \approx 7.03\).So, the binomial distribution \(B(200, 0.55)\) is approximated by a normal distribution \(N(110, 7.03)\).

Why do we use this approximation? Handling large numbers with the normal distribution is easier. Plus, for large sample sizes (n generally greater than 30), the normal distribution closely mirrors the binomial distribution.
Probability Calculation
When we want to find the probability of a specific outcome in a distribution, we perform a probability calculation. After approximating the binomial distribution with a normal distribution, we need to calculate the probability for a value being 130 or more.

Using the normal distribution, we convert the value of interest (130) to the z-score. The z-score helps us find the probability using standard normal distribution tables.

The z-score is calculated using the formula \(z = \frac{x - \text{mean}}{\text{std}}\). In our exercise, this becomes \(z = \frac{130 - 110}{7.03} \approx 2.85\).

Next, we use the z-score to find the probability from a standard normal table. For a z-score of 2.85, the table gives a probability of 0.9978, which represents the area to the left of the z-score (less than 130). To find the probability of 130 or more, we calculate the complement: \(\text{P}(X \ge 130) = 1 - 0.9978 = 0.0022\). This is the probability of obtaining at least 130 respondents.
Z-Score
The z-score is a statistical measurement that describes a value's relation to the mean of a group of values. It tells you how many standard deviations the value is from the mean. Calculating the z-score is a crucial step in converting your binomial problem to a normal problem.

In our example, assume we are studying the probability of males living at home. We first found the mean (110) and standard deviation (7.03). To calculate the z-score for 130 males, we used the formula:

\(\text{z} = \frac{130 - 110}{7.03} = 2.85\).

What does this mean? A z-score of 2.85 implies that 130 males living at home is 2.85 standard deviations above the mean. Using the standard normal distribution table, we find the probability of this z-score. The higher the z-score, the less likely the event, confirming our result is rare under the assumed probability (55% living at home).

Remember, the z-score gives us a way to understand probabilities in the context of the normal distribution, making it easier to handle large sample sizes effectively.

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