Identify the Distribution of the given Random Variable
"A bag contains 5 blue balls and 8 purple balls. If 3 balls are chosen randomly and without replacement, form the bag. Let x be the number of blue balls obtained. Then x has a distribution.
(a)... More > Poisson
Construct a 95% Confidence Interval for Population Mean
"The mean return for a random sample of 33 mutual funds is 14.93 percent with a standard deviation of 9.57. Construct a 95% confidence interval for mu, the population mean.
a. 11.53 to 18.32
b.... More > 11.01 to 18.85
c. 14.82 to 15.04
d. 10.95 to 18.91
Calculations of Value of Cost of Loan from Bank
"Which do you prefer: a bank account that pays 5% per year (EAR) for three years or
a) An account that pays 2.5% every six months for three years?
b) An account that pays 7.5% every 18... More > months for three years?
c) An account that pays 0.5 % per month for three years?
Calculating the Expected Amount of Disposable Income of Project
"a) What is the expected amount of disposable income the landlord will have facing this risky situation? Is this a fair gamble?
b) What is the expected utility of the landlord in this risky... More > situation assuming he cares only about his disposable income?
c) What amount of certain income would make the landlord as happy as he would be facing the risky situation?