1suppose that you are a student worker in the


1. Suppose that you are a student worker in the Statistics Department and they agree to pay you using the Random Pay system. Each week the Chair flips a coin. If it comes up heads, your pay for the week is $80, and if it comes up tails, your pay for the week is $40. You work for the department for two weeks. Let 56_x.gifbe the average of the pay you receive for the first and second week. The sampling distribution of is 56_x.gif: $40 $60 $80

A. given by the following probability distribution.
Probability: 0.25 0.50 0.25
B. approximately normal with mean $60 and standard deviation 14.14.
C. exactly normal with mean $60 and standard deviation 14.14.

2. The scores of individual students on the American College Testing (ACT) Program composite college entrance examination have a Normal distribution with mean that varies slightly from year to year and standard deviation 6.0. You plan to take an SRS of size n of the students who took the ACT exam this year and compute the mean score 56_x.gif of the students in your sample. You will use this to estimate the mean score of all students this year. In order for the standard deviation of 56_x.gif to be no more than 0.1, how large should n be?

A. at least 60
B. at least 3600
C. This cannot be determined because we do not know the true mean of the population.

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