Probability & Statistics

Problem: Two people play a game. A single dice is thrown. If the outcome is a 2 or a 3, then player A pays player B $6.00. How much should B pay A when a 1, 4, 5, or 6 is thrown so that A and B break even, on average, over many repititions of the game? a. $2.00 b. $8.00 c. $4.00 d. $6.00 e. None of the above

Probability & Statistics

Problem: Suppose that a probability distribution has a mean 20 and standard deviation 3. The Chebychev inequality states that the probability that an outcome lies between 16 and 24 is: a. less than 7/16 b. at least 7/16 c. at most 1/4 d. at least 1/4 e. none of the above

Probability & Statistics

Problem: The IQ of adults in a certain large population is normally distributed with mean 100 and standard deviation10. If a person is chosen at random form this group. the probability that the person's IQ is less than 85 or greater than 110 is: a. 0.7745. b. 0.9081. c. 0.2255. d. 0.0919. e. none of the above

Probability & Statistics

Problem: $4000 deposited at 12% interest compounded monthly will grow to $43570.22 in 20 years. What is the i, n, P, and F for this situation? a. 12%; 20; $4000; 43570.22 b. 0.01; 20; $4000; $43570.22 c. 0.15; 240; $43570.22; $4000 d. 0.01; 240; $4000; $43,570.22 e. none of the above

Probability & Statistics

Problem: Bill needs $8000 to buy a new car in five years. How much should be deposited at the end of every quarter into an account that earns 8% interest compounded quarterly? a. $329.25 b. $345.97 c. $666.33 d. $ 489.25 e. None of the above