STATS 240 Final Exam Review

1. The following table shows sales for Nike (in millions of $) for the years 2005 through 2008.
Year 2005 2006 2007 2008
Sales
13740 14955 16326 18627
($)
a. Find the mean sales for Nike for the years 2005 through 2008.
b. Calculate the standard deviation of Nike’s sales.

2. Consider the following sample data:

0 -4 2 -8 10
a. Find the median of the data.
b. Find the Interquartile Range of the data.

3. Consider the following sample data:

40 46 32 52 38 42
a. Find the median of the data.
b. Find the Interquartile Range of the data.

4. It is often assumed that IQ scores follow a bell-shaped distribution with a mean of 100 and a standard
deviation of 16.
a. What percentage of scores are between 84 and 116?
b. Is it unusual to have an IQ score of 150?

5. A professor went to the website RateMyProfessors.com and looked up the quality rating and also the
“easiness” of the five full-time professors in one department. The ratings are 1 (lowest quality) to 5
(highest quality) and 1 (hardest) and 5 (easiest). The numbers given are average for each professor.
Assume the trend is linear, find the correlation coefficient between the “quality” and “easiness”. Also
interpret the result:
Quality (X) Easiness (Y) Zx Zy

4.8 3.8 1.1360 1.1690

4.6 3.1 0.7303 0.1711

4.3 3.4 0.1217 0.5988

3.9 2.6 -0.6897 -0.5418

3.6 2 -1.2983 -1.3972

STATS 240 Final Exam Review

6. It has been reported that women end up unhappier than men later in life, even though they start out
happier. Suppose the table shows the result of the survey of 300 women. The women are asked “are
you satisfied with your financial and family life?
Age
Response 20 to 35 35 to 50 Over 50
Yes 73 36 32
No 67 54 38
If a woman is randomly selected from the survey, what is the probability that,

a. She is aged 35 to 50?

b. She is over 50 and responded “Yes”?
c. She is either 20 to 35 or responded “No”?
d. She is over 50, given that she responded “Yes”?
e. Are “age” and “satisfaction” independent? Why?

7. You are considering two mutual funds for your investment. The possible returns for the funds are
dependent on the state of the economy and are given in the following table:
State of P(state of Fund1 Return Fund2 Return
Economy economy) (%) (%)
Good 0.2 20 40
Fair 0.5 10 20
Poor 0.3 -10 -40
a. Compute the expected return for each fund.
b. Which one would you prefer to invest? Why?

Find the probability: Find z*:

10. 𝑃(𝑍 ≤ −0.37) = ? 13. 𝑃(𝑍 ≤ 𝑧 ∗ ) = 0.1234
11. 𝑃(𝑍 > −1.08) = ? 14. 𝑃(𝑍 > 𝑧 ∗ ) = 0.5319
12. 𝑃(−1.22 ≤ 𝑍 ≤ 2.10) = ? 15. 𝑃(−𝑧 ∗ ≤ 𝑍 ≤ 𝑧 ∗ ) = 0.8624

A chef is opening a new restaurant in Portland, Oregon, and wants to know how many vegan meals he
should prepare. 300 people will attend the opening night. He knows that about 4% of people in
Portland are vegan, and the approximate population of Portland is 600,000. You do NOT need to check
CLT here.

16. What is the probability that less than 4.5% of the people attending opening night will be
vegans?
17. What is the probability that more than 3.5% of the people attending opening night will be
vegans?
18. What is the probability that between 5.5% and 6% of the people attending opening night
will be vegans?
STATS 240 Final Exam Review
An investment company knows that the rates of return on its portfolios have a mean of 7.45 percent,
with a standard deviation of 3.82 percent. The company selects a sample of 144 portfolios to analyze.
Assume the company has tens of thousands of portfolios. (Careful– “percent” is just a unit here!) You
do NOT need to check CLT here.

19. What is the probability that the mean of the sample is smaller than 7 percent?
20. What is the probability that the mean of the sample is larger than 7.3 percent?
21. What is the probability that the mean of the sample is between 7.5 and 8.2 percent?

The average math SAT score for students applying to Suffolk University last year was 510, with a
standard deviation of 89. You do NOT need to check CLT here.

22. What score does an applicant need in order to be in the top 10% of math SAT scores?
23. What score does an applicant need in order to be in the bottom 4% of math SAT scores?
24. Between what score does an applicant need in order to be in the middle 50% of math SAT
scores?

In a study conducted by biologists Sokal and Hunter, the wing lengths of houseflies was found to be
approximately normally distributed, with a mean wing length of 45.5 mm, and a standard deviation of
3.92. You do NOT need to check CLT here.

25. Find the probability that a housefly has a wing length of less than 48 mm.
26. Find the probability that a housefly has a wing length of greater than 47 mm.
27. Find the probability that a housefly has a wing length between 41 and 49 mm.

28. A laboratory is interested in how many times they can use a specific brand of test tube on a
Bunsen burner before it cracks. Assume that the population is normally distributed. They
test 20 test tubes and finding it took reheating them 1111 times until they cracked, with a
standard deviation of 234. Compute the 98% confidence interval to estimate the average
number of times they can use the tube. You DO need to check CLT here.
29. The laboratory from #29 repeats its experiment, this time testing 12 test tubes and finding it
took reheating them 1297 times until they cracked, with a standard deviation of 255.
Compute the 90% confidence interval to estimate the average number of times they can
use the tube, and interpret its meaning.

30. A pharmaceutical company is testing their new nicotine patch. They randomly assign 100
volunteers to use the patch and finding that 37 had quit smoking after 8 weeks. Compute
the 96% confidence interval to estimate the proportion of people who quit smoking after 8
weeks with the new nicotine patch. You DO need to check CLT here.
STATS 240 Final Exam Review
31. The pharmaceutical company in #31 repeats their test, this time randomly assigning 125
volunteers to use the patch and finding that 49 had quit smoking after 8 weeks. Compute
the 98% confidence interval to estimate the proportion of people who quit smoking after 8
weeks with the new nicotine patch, and use it to determine if you can support the
company’s claim that over half of people on the patch quit smoking after 8 weeks. You do
NOT need to check CLT here.

For # 32 through 37, assume that CLT applies.

32. In the United States, the population mean height for 3-year-old boys is 38 inches. Suppose a
random sample of 30 non-U.S. 3-year-old boys showed a sample mean of 37.2 inches with a
standard deviation of 3 inches. The boys were independently sampled. Assume that heights
are Normally distributed in the population. Determine whether the population mean for
non-U.S. boys is significantly different from the U.S. population mean. Use a significance
level of 1%.

33. The National Highway Traffic Safety Administration (NHTSA) states that the percentage of
people who used their seatbelts in the year 2001 was 72%. The NHTSA also reported that a
random sample of 3000 people showed that 2210 reported using their seatbelts in 2011.
Conduct a hypotheses test at a significance level of 5% to see whether the percentage of
people who used their seatbelts in 2011 changed from the 72% reported in the year 2001.

34. A fast-food restaurant selling soft drinks advertises that they contain 15 ounces. A manager
wants to find out whether the drinks are being overfilled. A random sample of 10
independently chosen drinks produced a mean of 15.6 ounces with a standard deviation of
0.4 ounce. Assume that the distribution of serving sizes in the population is Normally
distributed. Carry out the appropriate hypothesis test using a 1% significance level. Explain
what conclusion the manager should reach.

35. The mean weight of all 21-year-old women is 132 pounds. A random sample of 35
vegetarian women who are 21 years old showed a sample mean of 127 pounds with a
standard deviation of 15 pounds. The women's measurements were independent of each
other. Determine whether the mean weight for 21-year old vegetarian women is
significantly less than 132, using a significance level of 5%.
36. In a Rasmussen Poll of 1020 adults in July 2010, 512 of those polled said that schools should
ban sugary snacks and soft drinks. Do a majority of adults support a ban on sugary snacks
and soft drinks? Perform a hypothesis test using a significance level of 10%.
37. Historically, the percentage of U.S. residents who support stricter gun control laws has been
54%. A recent Gallup Poll of 1011 people showed 499 in favor of stricter gun control laws.
Assume the poll was given to a random sample of people. Test the claim that the proportion
STATS 240 Final Exam Review
of those favoring stricter gun control has fallen. Perform a hypothesis test, using a
significance level of 1%.

38. A machine that is programmed to package 1.20 pounds of cereal is being tested for its
accuracy. In a random sample of 36 cereal boxes, the sample weight and standard deviation
are calculated as 1.22 pounds and 0.06 pounds, respectively. Check the Central Limit
Theorem (CLT) condition only.

39. A retailer is looking to evaluate its customer service. Management has determined that the
retailer will have to improve its services if the satisfaction rate is lower than 90% among the
customers. A survey of 1,200 randomly selected customers showed that 1,086 were
satisfied with their customer service. Only check the CLT conditions of the proportion.

40. For a 99.5% confidence interval, find z ∗ ( or 𝑍"$# )

41. For a 99% confidence interval with a sample size of 22, find 𝑡 ∗ (or 𝑡!#",%& )

For # 42 through 49, identify which test the scenario will use: independent samples t-test,
paired samples t-test

42. Amber Sanchez, a statistics student, collected data on the prices of the same items at the
Navy commissary on the naval base in Ventura County, California, and a nearby Kmart. The
items were matched for content, manufacturer, and size, and were priced separately.

43. Surfers and statistics students Rex Robinson and Sandy Hudson collected data on the
number of days surfers surfed in the last month for 30 random longboard users and 30
random shortboard users. Test the hypothesis that the mean days surfed for all longboard
users is larger than the mean days surfed for all shortboard users (because longboards can
go out in many different surfing conditions).

44. Compare the weekday and weekend/holiday hours of sleep. Each pair of numbers is from
one randomly selected person.

45. Students observe the number of office hours posted for a random sample of tenured and a
random sample of untenured professors.

For # 50 through 53, use the provided technology outputs to conduct a hypothesis test.

46. Researchers wanted to determine whether the reaction time (in seconds) of males differed
from that of females to a go/no-go stimulus. The researcher randomly selected a group of
females and a group of males in the study. The technology output is below. Set up the
hypotheses, state the conclusion, and interpret the result at 10% significance.
STATS 240 Final Exam Review

47. Chicago has installed cameras at various intersections throughout the city. The cameras
photograph the license plate of any car engaging in a moving violation. Researchers with
the city wanted to know whether there is a significantly higher number of violations on
Wednesday than on Saturday. They randomly selected 30 cameras on a Wednesday and
Saturday of the same week. The test result is shown. Test your result at 1% significance
level

48. Are taller tennis players able to serve faster? Physics would suggest this is the case, as taller
players have longer arms and can generate more racquet speed. He collected data from
randomly selected male professional tennis players with their heights (in) and the serve
speed (mph). A least-squares regression analysis is performed and the RStudio output is
shown:
STATS 240 Final Exam Review

a. Write down a least-squares regression equation from the output to predict the serve speed
from the height. Interpret the slope of the height.
b. Read and interpret the 𝑟 # from the RStudio output
c. Read the p-value of the significance test of the slope and make a conclusion at the 5% level of
significance.
𝐻𝑜: 𝛽% = 0
𝐻1: 𝛽% ≠ 0 (𝑇. 𝑇. )