Aps U6 Test Review 2016 Key
Aps U6 Test Review 2016 Key
Aps U6 Test Review 2016 Key
Part 1: Multiple Choice. Circle the letter corresponding to the best answer.
3. Cans of soft drinks cost $ 0.30 in a certain vending machine. What is the expected value and
variance of daily revenue (Y) from the machine, if X, the number of cans sold per day has E(X) =
125, and Var(X) = 50 ?
(a) E(Y) = 37.5, Var(Y) = 50 E(Y) = 0.3 ● E(X) and
(b) E(Y) = 37.5, Var(Y) = 4.5
(c) E(Y) = 37.5, Var(Y) = 15 Var(Y) = 0.32●Var(X)
(d) E(Y) = 37.5, Var(Y) = 30
(e) E(Y) = 125, Var(Y) = 4.5
4. A rock concert producer has scheduled an outdoor concert. If it is warm that day, she expects to
make a $20,000 profit. If it is cool that day, she expects to make a $5000 profit. If it is very cold
that day, she expects to suffer a $12,000 loss. Based upon historical records, the weather office
has estimated the chances of a warm day to be 0.60; the chances of a cool day to be 0.25. What
is the producer’s expected profit?
(a) $5000
(b) $13,000
(c) $15,050 X 20000 5000 -12000
(d) $13,250 P(X) 0.6 0.25 ?
(e) $11,450 P(-12000) = 0.15, so
find E(X) = 20000(0.6) + 5000(0.25) – 12000(0.15)
5. In a particular game, a fair die is tossed. If the number of spots showing is either 4 or 5, you win
$1, if the number of spots showing is 6, you win $4, and if the number of spots showing is 1, 2, or
3, you win nothing. Let X be the amount that you win. The expected value of X is
(a) $0.00.
(b) $1.00.
(c) $2.50. X 1 4 0
(d) $4.00. P(X) 2/6 1/6 3/6
(e) $6.00. E(X) = 1(2/6) + 4(1/6) + 0(3/6)
Questions 6 and 7 use the following: Suppose X is a random variable with mean µX and standard
deviation X. Suppose Y is a random variable with mean µY and standard deviation Y.
6. The mean of X + Y is
(a) µX + µY . MEMORIZE THE FORMULA!
(b) (µX / X) + (µY/Y).
(c) µX + µY, but only if X and Y are independent.
(d) (µX/X) + (µY/Y), but only if X and Y are independent.
(e) None of these.
7. The variance of X + Y is
(a) X + Y. MEMORIZE THE FORMULA!
(b) (X)2 + (Y)2.
(c) X + Y, but only if X and Y are independent.
(d) (X)2 + (Y)2, but only if X and Y are independent.
(e) None of these.
8. Suppose X is a continuous random variable taking values between 0 and 2 and having the
probability density function below.
9. Picard Partners is planning a major investment. The amount of profit X is uncertain but a
probabilistic estimate gives the following distribution (in millions of dollars):
Profit 1 1.5 2 4 10
Probability 0.1 0.2 0.4 0.2 0.1
(a) Find the mean profit µX and the standard deviation of the profit.
(b) Picard Partners owes its source of capital a fee of $200,000 plus 10% of the profits X. So the
firm actually retains Y = 0.9X – 0.2 from the investment. Find the mean and standard deviation
of Y.
MEAN Y = 0.9(3) - 0.2 = 2.5
ST DEV Y = 0.9(2.520) = 2.268
10. The Census Bureau reports that 27% of California residents are foreign-born. Suppose that you
choose three Californians independent of each other and at random. There are eight possible
arrangements of foreign (F) and domestic (D) birth. For example, FFD means that the first two
are foreign-born, and the third is not.
(a) Write down all eight arrangements and find the probability of each.
(b) Let the random variable X be the number of foreign-born people in each group of three
Californians. What are the possible values of X? Use the probabilities you found in (a) to
construct a probability distribution table for X.
X 0 1 2 3
P(X) 0.389 0.432 0.159 0.020
(c) What is the expected number of foreign-born residents in a randomly selected group of three?
a) Let X be the length of a randomly chosen pregnancy. What is the probability that the
pregnancy will last more than 270 days?
DRAW A NORMAL CURVE WITH µ = 266 AND σ = 16 AND SHADE FROM 270 TO THE RIGHT
NORMAL CDF (270, 10^99, 266, 16) = 0.401
“THE PROBABILITY A PREGNANCY WILL LAST MORE THAN 270 DAYS IS 40.1%.”
b) Let X and Y be the lengths of two randomly chosen pregnancies. What is the probability that
the two pregnancies last a total of at least 600 days?
DRAW A NORMAL CURVE WITH µ = 532 AND σ = 22.627 AND SHADE TO THE RIGHT OF 600
NORMAL CDF (600, 10^99, 532, 22.627) = 0.0013
“THE PROBABILITY THAT TWO PREGNANCIES WILL LAST A TOTAL OF AT LEAST 600 DAYS IS
0.13%.”
12. ACT scores for the 1,171,460 members of the 2004 high school graduating class who took the
test closely followed the Normal distribution with µ = 20.9 and σ = 4.8. Choose two students
independently and at random from this group.
(d) Find the probability that the sum of their scores is greater than 50. Show your method.
DRAW A NORMAL CURVE WITH MEAN = 41.8 AND ST DEV = 6.788 AND SHADE TO THE RIGHT OF 50
NORMAL CDF (50, 10^99, 41.8, 6.788) = 0.114
“THE PROBABILITY THAT THE SUM OF TWO STUDENTS ACT SCORES IS GREATER THAN 50 IS
11.4%.”
13. How many close friends do you have? Suppose that the number of close friends adults claim to
have varies from person to person and follows a Normal distribution with µ = 9 and σ = 0.075.
What is P(8 ≤ x ≤ 10)?
DRAW A NORMAL CURVE WITH µ = 9 AND σ= 0.075 AND SHADE BETWEEN 8 AND 10
NORMAL CFD (8, 10, 9, .075) = 1
“THE PROBABILITY THAT A PERSON HAS BETWEEN 8 AND 10 FRIENDS IS 100%.”