1. A large company is considering provision of a dental insurance plan for its executives. In a random sample of n = 25 executives the mean family dental expenses in the previous year was $2800.60, and the standard deviation S = $1287.40. To calculate a 90% confidence interval for the mean annual family dental expenses of a company executive they should use
Select one:
a. a binomial distribution with n = 25.
b. a normal distribution.
c. a t-distribution with 25 degrees of freedom.
d. a t-distribution with 24 degrees of freedom.
2. The lengths of calls made to a call centre of a telecommunications company is known to be normally distributed with a mean of 15 minutes and a standard deviation of 5 minutes. The probability that a randomly chosen call lasts for 25 minutes or more is closest to:
Select one:
a. 0.150
b. 0.300
c. 0.025
d. 0.050
3. Referring back to question 2, approximately 15% of calls last less than how many minutes?
Select one:
a. 15 minutes
b. 10 minutes
c. 5 minutes
d. 1 minute
4. The probability that a mortgage foreclosure is due to disability is known to be 0.48. If a large lending institution audits 40 mortgage foreclosures then, assuming a Binomial distribution, the expected number of mortgage foreclosures due to disability is closest to:
Select one:
a. 4
b. 10
c. 19
d. 21
5.The mortgage manager estimates that it takes her 45mins to process each approved mortgage. Her expected weekly time spent processing approved mortgages is closest to:
Select one:
a. 45 minutes
b. 90 minutes
c. 126 minutes
d. 135 minutes
6. A mortgage manager at a local bank records the number of home mortgages she approves per week for an extended period of time and comes up with the following probability distribution:
Number of mortgages approved per week |
0 |
1 |
2 |
3 |
4 |
5 |
6 |
Probability |
0.10 |
0.10 |
0.20 |
0.30 |
0.15 |
0.10 |
0.05 |
Q14. The probability that she approves four or more mortgages in a given week is closest to:
Select one:
a. 0.15
b. 0.30
c. 0.46
d. 0.70
1.
d. a t-distribution with 24 degrees of freedom.
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2.
Ans :
c. 0.025
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3.
Ans:
b. 10 minutes
Note : As per Chegg policy, one question can be answered per one post.
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