Class Assignment 4
Statistics for Business Decisions
BMS Semester
Unit IV (Probabilities): Theoretical distributions: (A) Normal distribution
Q1. Calculation of probabilities using z table:
i. Find the area under normal curve for Z= 1.54;
ii. Find the area to the right of Z= 0.25 and
iii. Find the area to the left of z= -1.96
Q2. A normal curve has x̄ = 20 and σ= 10. Find the area between X1= 15 and X2= 40.
Q3. Assume the mean height of soldiers to be 68.22 inches with a variance of 10.8 inches. How
many soldiers in a regiment of 1000 would you expect is be over six feet tall?
Q4. In a distribution exactly normal, 7% of the items are under 35 and 89% are under 63. What
are the mean and standard deviation of the distribution?
Q5. The income of a group of 10000 persons was found to be normally distributed with mean
Rs. 7500 p.m. and std. deviation Rs. 500. Show that of this group about 95% had income
exceeding Rs. 6680 and only 5% had income exceeding Rs. 8320. What was the lowest income
among the richest 100?
Q6. 1000 light bulbs with a mean life of 120 days are installed in a new factory. Their length
of life is normally distributed with standard deviation 20 days.
i. How many bulbs will expire in less than 90 days?
ii. If it is decided to replace all the bulbs together, what intervals should be allowed
between replacements if not more than 10% should expire before replacement?
Q7. In a certain examination the percentage of passes and distinctions were 46 and 9
respectively. Estimate the average marks obtained by the candidates, the minimum pass and
distinctions marks being 40 and 75 respectively (assume the distribution of marks is normal).
Also determine what would have been the minimum qualification marks for admission to a re-
examination of the failed candidates, had it been desired that the best 25% of them should be
given another opportunity of being examined.