Q1) Credit card Company makes a decision to study frequency with which its cardholders charge for items from certain chain of retail stores. Data values collected in study appear to be normally distributed with mean of 25 charged purchases and standard deviation of 2 charged purchases. Out of total number of cardholders, about how many would you expect are charging 27 or more purchases in this study?

a) 94.8%  

b) 68.3%                     

c) 47.8%                     

d) 15.9%

Q2) If level of significance (α) is 0.005 in two-tail test, how large is non rejection region under curve of the t distribution?

a) 0.005                      

b) 0.050                      

c) 0.995                      

d) 0.9975

Q3) Simple random sample with n = 700 is drawn from binomial process in which π = 0.7. With p = proportion of successes, which of following is the solution for P(0.65 ≤ p ≤ 0.70)?

a) 0.0019                    

b) 0.0173                    

c) 0.4981                    

d) 0.70

Q4) In sampling with no replacement from population of 900, it is determined that standard error of mean, σx_ (sigma x bar), is only two-thirds as large as it would have been if population were infinite in size. Determine the approximate sample size?

a) 200             

b) 400             

c) 500             

d) 600

Q5) Suppose that the event A contains 10 observations and event B contains 15 observations. If intersection of events A and B consists exactly 3 observations, how many observations are in union of these 2 events?

a) 0                 

b) 10               

c) 22               

d) 28

Q6) Approximately how much of total area under normal curve will be in interval spanning 2 standard deviations on either side of mean?

a) 50%            

b) 68.3%                     

c) 95.5%                     

d) 99.7%