1. Refer to the Lincolnville School District bus data.

Prepare a report on the maintenance cost for last

month. Be sure to answer the following questions in your report.

a. Around what values do the data tend to cluster? Specifically, what was the mean maintenance cost
last month? What is the median cost? Is one measure more representative of the typical cost than the
others?

b. What is the range of maintenance costs? What is the standard deviation? About 95% of the
maintenance costs are between what two values?

Solution:

Sort the Maintenance Cost from MIN to Max and Sum the total. The mid locations are 40 th and 41st

a: Mean = Sum total/ number of observations= 364151/80= 4552

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Median= (4218+4139)/2=4179

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The mean maintenance cost was $4552 last month, and the median was $4179. The mean is greater

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than the median, the distribution is skewed to the right-hand side. Both measures are close and provide

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a good representative of the typical maintenance cost.

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b: The range of maintenance cost Range= Max-Min=10575-505=10070
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1061−4552
x−x́ ¿
¿
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¿ 10575−4552
2
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¿ ¿
Standard Deviation SD= ¿ = = 2332
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¿
∑¿ ¿2
¿ (505−4552) +(1008−4552)2 +¿
2
√¿
¿
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√¿
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By using the Empirical rule to determine the maintenance costs. The Empirical rule that 95% of
observations will lie within plus and minus2 times standard deviations of the mean.

Mean+2SD= 4552+2x2332=9216
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Mean -2SD=4552-2X2332=-112
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The about 95% of the maintenance costs are between the -112,9216
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2. The Director of Planning for Devine Dining Inc. wishes to study the relationship be-tween the gender
of a guest and whether the guest orders dessert. To investigate the relationship, the manager collected
the following information on 200 recent customers.

Gender Gender
Dessert Ordered Male Female Total

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 Yes 32 15 47
No 68 85 153
Total 100 100 200

a. What is the level of measurement of the two variables?

b. What is the above table called?

c. Does the evidence in the table suggest men are more likely to order dessert than women? Explain
why.

Solution:

a: The level of measurement for both variables is nominal scale because they are merely descriptions
and not numerical representations.

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b: The table is called contingency table

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c: Men appear to be about twice liked to order dessert because among the people who ordered dessert,
68% are men and 32% are women.

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3. Refer to the Lincolnville School District bus data.

a. Referring to the maintenance cost variable, develop a box plot. What are the minimum, first quartile,
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median, third quartile, and maximum values? Are there any outliers?
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b. Using the median maintenance cost, develop a contingency table with bus manufacturer as one
variable and whether the maintenance cost was above or below the median as the other variable. What
are your conclusions?
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Solution:
is
Th
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a: minimum = 505

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first quartile =3073
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median= 4179

third quartile= 5718

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maximum values=9669
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There are two outliers. Any manufacturer whose maintenance cost more than Q3+1.5(Q3-Q1) =5718+
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1.5(5718-3073) = 9685.5 is an outlier.

b: Use the median maintenance cost variable, develop a contingency table with bus manufacturer as one
variable and where the maintenance cost was above or below the median as the other variable.
ed d
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Above/below Keiser Thompson Bluebird Total

median
above 12 6 22 40
below 13 2 25 40
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total 25 8 47 80
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The above contingency table: 1. 50% of the bus’s maintenance cost above the median.

2. 75% of Thompson bus’s maintenance cost above the median.

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3. The percent of other manufacturer’s maintenance cost above median

maintenance cost are 48% for Keiser and 47% for Bluebird.

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 4. Refer to the Lincolnville school bus data. Set up a variable that divides the age of the buses into three
groups: new (less than 5 years old), medium (5 but less than 10 years), and old (10 or more years). The
median maintenance cost is $4,179. Based on this value, create a variable for those less than or equal to
the median (low maintenance) and those more than the median (high maintenance cost). Finally,
develop a table to show the relationship between maintenance cost and age of the bus.

a. What percentage of the buses are less than five years old?

b. What percentage of the buses less than five years old have low maintenance costs?

c. What percentage of the buses ten or more years old have high maintenance costs?

d. Does maintenance cost seem to be related to the age of the bus? Hint: Compare the maintenance cost
of the old buses with the cost of the new buses? Would you conclude maintenance cost is independent
of the age?

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Solution:

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Above/below Less than 5 years 5 but less than 10 10 or more years Total
median cost old
rs e years
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High Maintenance 1 24 15 40
cost
Low Maintenance 17 23 0 40
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Total 18 47 15 80
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vi y re

a: Out of 80 buses, 18 buses are less than 5 years old. The percentage of the buses less than 5 years is
18/80=22.5%

b: Out of 18 less than 5 years old buses, 17 buses have low maintenance costs. The percentage of buses
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less than five years have low maintenance cost is 17/18= 94.4%
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c: Out of 15 ten or more years old buses, all 15 have high maintenance costs. The percentage of the
buses ten or more years old have high maintenance costs is 15/15=100%
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d: Two events A and B are independent. Out of 80 buses, 40 buses have high maintenance costs. The
percentage of bus have high maintenance costs is 40/80=50%
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The percentage of the buses ten or more years have high maintenance costs is 100%. The percentage of
the buses less than 5 years old have high maintenance costs is 1-94.4%=5.6% and the percentage of the
buses 5 but less than 10 years have high maintenance costs is 24/47= 51%. The elder buses are the
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higher high maintenance percentage they are. The maintenance cost seems to be related to the age of
bus.

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aC s
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