7.5. Practice question answers

Chapter 7 practice question answers

7.1. Binomial Probability

1.  0.0322

2.  0.1047

3.  0.9421

4.  0.2305

 

7.2. Bayes’ Formula

1.  a. 0.6458

     b. 0.4706

     c. 0.625

2.  a. 0.125

     b. 0.7241

3.  a. 0.045

     b. 0.2667

     c. 0.03

 

7.3. Expected Value and Tree Diagrams

1.  1.7

2.  -0.83 cents

3.  -0.96 cents

4.  0.94

5.  0.5177

 

7.4. Markov Chains

1. 

    \begin{equation*} \mathbf{First\; Purchase\quad\quad} \begin{blockarray}{*{3}{c} l} \begin{block}{*{3}{>{$\footnotesize}c<{$}} l} & \BAmulticolumn{3}{c}{\textbf{Next Purchase}} & \\ & \quad Ford\quad\quad & \quad GM\quad\quad \\ \end{block} \begin{block}{>{$\footnotesize}l<{$}[*{3}{c}]} Ford & 0.60 & 0.40 \\ GM & 0.20 & 0.80 \\ \end{block} \end{blockarray} \end{equation*}

2.  a.  31%

     b.  25%