Question

eBook Many drugs used to treat cancer are expensive. Businessilieek reported on the cost per dollars) for treatment of Herceptin, a drug used to treat breast cancar (Businestiek, Jinuary 0, 205). Typial treatment costs (in Herceptin are provided by a simple random sample of 10 patients 360 5.584 2,702 4,916 4,511 ,808 6,459 4,133 4,245 3,801 Develop a point estimate of the mean cost per treatment with Herceptin (to 2 decimals b Develop a point estimate of the standard deviation of the cost per treatment with Herceptin (to 2 decimals

Answer 1

Solution:

a. Develop a point estimate of the mean cost per treatment with Herceptin?

Answer: The point estimate of the mean is given below:

$\bar{x}=\frac{4360+5584+2702+4916+4511+4808+6459+4133+4245+3801}{10}$

$=4551.9$

Therefore, the point estimate of the mean cost per treatment with Herceptin is $\boldsymbol{4551.9 }$

b. Develop a point estimate of the standard deviation cost per treatment with Herceptin?

Answer: The point estimate of the standard deviation is:

$s=\sqrt{\frac{\sum(x-\bar{x})^2}{n-1}}$

$=\sqrt{\frac{(4360-4551.9)^2+(5584-4551.9)^2+(2702-4551.9)^2+...+(3801-4551.9)^2}{10-1}}$

$=1010.75$

Therefore, the point estimate of the standard deviation cost per treatment with Herceptin​​​​​​​ is $\boldsymbol{1010.75 }$ ​​​​​​​