Standard deviation for the number of orange candies


Problem:

A candy company claims that 17% of its plain candies are orange, and a sample of 100 such candies is randomly selected.

a. Find the mean and standard deviation for the number of orange candies in such groups of 100.

b. A random sample of 100 candies contains 5 orange candies. Is this result unusual? Does it seem that the claimed rate of 17% is wrong? Choose one from below

1. Yes, because 5 is below the minimum usual value. Thus, the claimed rate of 17% is probably wrong.

2. Yes, because 5 is greater than the maximum usual value. Thus, the claimed rate of 17% is not necessarily wrong.

3. Yes, because 5 is within the range of usual values. Thus, the claimed rate of 17% is probably wrong.

4. No, because 5 is within the range of usual values. Thus, the claimed rate of 17% is not necessarily wrong.

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Accounting Basics: Standard deviation for the number of orange candies
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