Business Statistics (BUS 505)

Assignment 6
Answer to the question no -34
FREQUENCY
OF VISIT
Frequent(A1)
Infrequent(A2)
TOTAL

PURCHASE OF GENERIC PRODUCT

OFTEN(B1)
SOMETIMES(B2)
NEVER(B3)
.12
.07
.19

.48
.06
.54

Let,
Ai = Frequency of Unit [i = 1, 2, 3.]
Bj = Purchase of generic products [j = 1, 2, 3.]
B1)

a. P(A1

= P(A1) P(B1)

= .19 .79
= .12

P ( A1 B3) .19
P ( B3)
.27
b. ( A1B3) =
=
=.7037
c. ( A1B3) = P(A1) P(B3)

.19 = .79 .27

.19 .2133
So, they are not statistical independent.
P ( B1 A1)
P ( A2)

.07
.21

d. (B1A2) =
=
=.333
A2)
e. P(B1
=P(B1) P(A1)

.07 = .19 .21

.07 .0399
So, they are not statistical independent.
f. P(A1) = P(B1)+P(B2)+P(B3)
=.12+.48+.19
=.79
g. P (B3) = P (A1) +P (A2)
= .19+.08
=.27

.19
.08
.27

TOTAL
.79
.21
1.00

Business Statistics (BUS 505)

Assignment 6
B3)

h. P (A1

=P(A1)+P(B3)- P(A1
= .79+.27-.19
=.87

B3)

Answer to the question no -36

Traded
Stock

READ BUSSINESS SECTION

Regular (B1)

Occasional(B2)

Never (B3)

Total

Yes (A1)

.18

.10

.04

.32

No (A2)

.16

.31

.21

.68

Total

.34

.41

.25

1.00

Let,
Ai =Traded Stock [i = 1, 2, 3.]
Bj =Read Business section [j = 1, 2, 3.]
a. P (B3) =P (A1) +P (A2)
=.04+.21
=.25
b. P (A1) =.18+.10+.04
=.32
P ( A1 B 2) .04
P ( B 2)
.25
c. P (A1B3) =
=
=.16
P ( B3 A1) .04
P ( A1)
.32
d. P (B3A1) =
=
=.125
B1
e. Does not read regularly= P ( ) = 1- P (B1)
=1-.34
= .66
P ( A1 B1)
P ( B1)
B1
P (A1 ) =

B1
We Know, P (A1) =P (A1 B1) +P (A1
)
B1
.32 =.18 + P (A1
)

Business Statistics (BUS 505)

Assignment 6
P (A1

B1

) = .32-.18 =.14

P (A1

B1

)=

.14
.66

=.212

Answer to the question no -37

PART
Good(A1)
Defective
(A2)
Total

A(B1)
.27
.02
.29

SUBCONTRACTOR
B(B2)
C(B3)
.30
.33
.05
.03
.35

Let, Ai=Particular Sensitive part [i = 1, 2, 3.]

Bj =Subcontractor [j = 1, 2, 3.]
a. P(A2)= .02+.05+.03
=.10
b. P (B2) = .30+.05
= .35
P ( A2 B 2) .05
P ( B 2)
.35
c. P (A2B2) =
=
=.1428
P ( B 2 A2) .05
P( A2)
.10
d. P(B2A2)=
=
=.5

e. P(A1 B2)=P(A1)P(B1)

= .90 .29
.27 .261
So, they are not Statistical independent.

.36

Total
.90
.10
1.00

Business Statistics (BUS 505)

Assignment 6
P( A G)
P(G )

.27
.9

f. P(AG)=

=
=.30
P ( B G ) .30
P(G )
.9
P (BG) =
=
=.33
P (C G ) .33
P (G )
.9
P (CG) =
=
=.37

In terms of quality subcontractor C is most reliable.

Answer to the question no -38

Worked
Problem
YES (A1)
NO (A2)
Total

A(B1)
.12
.13
.25

B(B2)
.06
.21
.27

EXPECTED GRADE
C(B3)
Below C(B4)
.12
.02
.26
.08
.38
.10

Total
.32
.68
1.00

Let, Ai = Workers related problem [i = 1, 2, 3.]

Bj = Expected grade [j = 1, 2, 3.]

a. P (A1) =.12+.06+.12+.02
= .32
b. P (B1) =.12+.13=.25
P ( B1 A1) .12
P ( A1)
.32
c. P (B1A1) =
=
=.375
P ( A1 B1) .12
P ( B1)
.25
d. P (A1B1) =
=
=.48
e. Let, R Denotes the Event Students who worked additional hours expected a Grade
below A

P( R Y )
P(Y )
P (RY) =
.14
.32
=

[P(R) =P(C

Y) +P(X<C

=.12+.02

P(R Y) =.14

=.14

Y)

Business Statistics (BUS 505)

Assignment 6

f. P (A1

B1) =P (A1) P (B1)

.12 = .32 .25

.12 .08
So, they are not statistically independent.

Answer to the question no -41

Let,
A denotes the event A campus student club member of men who receive the material.
B denotes the event A campus student club member of women who receive the
material.
C denotes the event A campus student club member of student who joins the club.
So, P (A) = .40
P(C A)
= .07

P (B) = .60
P(C B )
and
= .09

P(C A)

P(C B)

a) P(C) =

+
P( B C )
P( B / C )
P (C )

b)

= .07 + .09 = .16

.09
.16

= .5625

Answer to the question no -42

Let,
A1
denotes the event, Interest rate in next year will be more than 1% than this year.
A2
denotes the event, Interest rate in next year will be more than 1% lower than this
year.
A3
denotes the event, Interest rates next year within 1% than this year.
B denotes the event, Significant earnings growth in the next year.

Business Statistics (BUS 505)

Assignment 6
A1

A3

A2

A1

A2

So, P ( ) = .25
P ( ) = .15 P( ) = 1-[ P ( )+P ( )] = .60
A3
A1
A2
P (B/ ) = .10 P(B/ ) = .80
P(B/ ) = .50
A1
A1
A1

a) P (
B) = P(B/ ) P ( ) = .10 .25 = .025
A3
A1
A2
b) P(B) = P (
B) + P(
B) + (
B)
A3
A3
A1
A1
A2
A2
= P(B/ ) P ( ) + P(B/ ) P ( ) + P(B/ ) P( )

= .1 .25 + .8 .15 + .5 .60

= .445
P ( A2 B )
P(B/A 2 ) P ( A2 )
.12
A2
P( B )
P( B)
.445
c) P ( /B) =
=
=
= .270

Answer to the question no -43

Let,
A denotes the event, Blue-collar employees modified health care plan.
B denotes the event, Blue-collar employees a proposal to change the work schedule.
P (A) = .42 P(B) = .22 and P(B/A) = .34

a) P (A B) = P(B/A) P (A) = .34 .42 = .1428

B)

b) P(A
= P(A) + P(B) - P (A B)
= .42 + .22 - .1428 = .4972

P( A B)
P( B)
c) P(A/B) =

.1428
.22

= .649