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BUS130 Statistics Assignment

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Question:

PART A:

Consumers spend an average of $21 per week in cash without being aware of where it goes (data extracted from ‘Snapshots: A Hole in Our Pockets,’ USA Today, January 18, 2010, p. 1A). Assume that the amount of cash spent without being aware of where it goes is normally distributed and that the standard deviation is $5.

(a) What is the probability that a randomly selected person will spend more than $25?

(b)  What is the probability that a randomly selected person will spend between $10 and $20?

(c)  Between what two values will the middle 95% of the amounts of cash spent fall?

PART B:

The file Property Taxes contains the property taxes per capita for the 50 states and the District of Columbia. Decide whether the data appear to be approximately normally distributed.  

Decide whether the data appear to be approximately normally distributed by:

(a) Constructing a box plot.

(b) Constructing a histogram.

(c) Comparing data characteristics to theoretical properties.

(d) Constructing a Quantile-Quantile Normal Probability Plot.

You must include all Excel results for this data as part of the justification for your conclusions. (Include them within the appropriate section – not at the end of your document.)

Your assignment must be submitted as a single word document via LMS.  You will find the data in Property Taxes in LMS under Topic 5, Data Files.1 Based on Question 6.18 in Levine et al (2013)

PART A: Completed questions.

  • An introduction, where the key aspects of this topic are fully discussed. (This discussion should be referenced using the Chicago referencing method)
  • The body of your assignment, where all of your findings are presented. (This should include relevant Excel results, graphs, tables) Each of the pieces of information that are included need to be discussed in relation to the given question.
  • A Conclusion, which summarises your key findings and links these back to your comments in the introduction.
  • A Bibliography which includes all resources referenced within your assignment.

Marks will be allocated according to the quality of each of the components above. It is important that you present your assignment with sufficient detail to fully answer the given question, while at the same time present your arguments in a concise way. (As a guide: Word Limit, at least 1500 words).

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