/*! This file is auto-generated */ .wp-block-button__link{color:#fff;background-color:#32373c;border-radius:9999px;box-shadow:none;text-decoration:none;padding:calc(.667em + 2px) calc(1.333em + 2px);font-size:1.125em}.wp-block-file__button{background:#32373c;color:#fff;text-decoration:none} Q.7 7. Benford鈥檚 law Refer to Exer... [FREE SOLUTION] | 91影视

91影视

7. Benford鈥檚 law Refer to Exercise 5. The first digit of a randomly chosen expense account claim follows Benford鈥檚 law. Consider the events A = first digit is 7 or greater and B = first digit is odd.

(a) What outcomes make up the event A? What is P(A)?

(b) What outcomes make up the event B? What is P(B)?

(c) What outcomes make up the event 鈥淎 or B鈥? What is P(A or B)? Why is this probability not equal to P(A) + P(B)?

Short Answer

Expert verified

a)The outcomes that make up the event A is 0.155

b)The probability of P(B)is 0.609

c)P(AorB)P(A)+P(B)because the events are not mutually exclusive.

Step by step solution

01

Part (a) Step 1: Given Information

Given that the probability distribution X123456789Probability0.3010.1760.1250.0970.0790.0670.0580.0510.046
02

Part (a) Step 2:  Calculation

According to the information, consider Aas an event indicating that the first digit is 7or higher The following are the consequences of event A:

Outcomes={7,8,9}

P(A)can be calculated as:

localid="1649993368336" P(A)=P(X=7)+P(X=8)+P(X=9)=0.058+0.051+0.046=0.155

03

Part (b) Step 1: Given Information

Given that the probability distribution

Days01234567Probability0.680.050.070.080.050.040.010.02

04

Part (b) Step 2: Calculation

If Bis the event indicating that the first digit is odd, The results of eventBcan be written as follows:

Outcomes={1,3,5,7,9}

P(B)can be calculated as:

localid="1649993375643" P(B)=P(X=1)+P(X=3)+P(X=5)+P(X=7)+P(X=9)=0.301+0.125+0.079+0.058+0.046=0.609

05

Part (c) Step 1: Given Information

Given that the probability distribution

Days01234567Probability0.680.050.070.080.050.040.010.02

06

Part (c) Step 2: Calculation 

The outcomes for events Aand Bcan be written as follows, using the data from the previous sections:

Outcomes={1,3,5,7,8,9}

P(Aor B)can be calculated as:

localid="1649993383176" P(AorB)=P(X=1)+P(X=3)+P(X=5)+P(X=7)+P(X=8)+P(X=9)=0.301+0.125+0.079+0.058+0.051+0.046=0.660

localid="1649993386761" Here,P(AorB)P(A)+P(B)because the events are not mutually exclusive.

Unlock Step-by-Step Solutions & Ace Your Exams!

  • Full Textbook Solutions

    Get detailed explanations and key concepts

  • Unlimited Al creation

    Al flashcards, explanations, exams and more...

  • Ads-free access

    To over 500 millions flashcards

  • Money-back guarantee

    We refund you if you fail your exam.

Over 30 million students worldwide already upgrade their learning with 91影视!

One App. One Place for Learning.

All the tools & learning materials you need for study success - in one app.

Get started for free

Most popular questions from this chapter

Buying stock (5.3,6.1)You purchase a hot stock for 1000. The stock either gains 30%or loses 25%each day, each with probability 0.5. Its returns on consecutive days are independent of each other. You plan to sell the stock after two days.

(a) What are the possible values of the stock after two days, and what is the probability for each value? What is the probability that the stock is worth more after two days than the 1000you paid for it?

(b) What is the mean value of the stock after two days?

(Comment: You see that these two criteria give different answers to the question "Should I invest?")

Friends How many close friends do you have? An opinion poll asks this question of an SRS of 1100 adults. Suppose that the number of close friends adults claim to have varies from person to person with mean =9 and standard deviation =2.5. We will see later that in repeated random samples of size 1100, the mean response x will vary according to the Normal distribution with mean 9 and standard deviation 0.075. What is role="math" localid="1649504967961" P(8.9x9.1), the probability that the sample result x estimates the population truth =9 to within 0.1?

78. Rhubarb Refer to Exercise 76. Would you be surprised if 3 or more of the plants in the bundle die before producing any rhubarb? Calculate an appropriate probability to support your answer.

Statistics for investing (3.2) Joe's retirement plan invests in stocks through an "index fund" that follows the behavior of the stock market as a whole, as measured by the Standard & Poor's (S&P) 500 stock index. Joe wants to buy a mutual fund that does not track the index closely. He reads that monthly returns from Fidelity Technology Fund have correlation r=0.77with the S&P500index and that Fidelity Real Estate Fund has correlation role="math" localid="1649424494964" r=0.37with the index.

(a) Which of these funds has the closer relationship to returns from the stock market as a whole? How do you know?

(b) Does the information given tell Joe anything about which fund has had higher returns?

A large auto dealership keeps track of sales and leases agreements made during each hour of the day. Let = the number of cars sold and = the number of cars leased during the 铿乺st hour of business on a randomly selected Friday. Based on previous records, the probability distributions of and are as follows:

顿别铿乶别D=X-Y

Find and interpret D.

See all solutions

Recommended explanations on Math Textbooks

View all explanations

What do you think about this solution?

We value your feedback to improve our textbook solutions.

Study anywhere. Anytime. Across all devices.