QMB 3200 FINAL EXAM STUDY GUIDE

If a penny is tossed four times and comes up heads all four times, the probability of heads on the fifth trial is a. zero b. 1/32 c. 0.5 d. larger than the probability of trials 0.5 An experiment consists of four outcomes with P(E1)=0.2, P(E2)=0.3, and P(E3)=0.4. The probability of outcome E4 is a. 0.100 b. 0.500 c. 0.900 d. 0.024 0.100 If A and B are mutually exclusive events with P(A)=0.3 and P(B)=0.5, then P(A∩ B)= a. 0.15 b. 0.00 c. 0.20 d. 0.30 0.00 A method of assigning probabilities that assumes the experimental outcomes are equally likely is referred to as the a. subjective method b. classical method c. objective method d. experimental method Classical method One of the basic requirements of probability is if there are k experiemental outcomes, the P(E1)+P(E2)+...+P(EK)=1 When the assumption of equally likely outcomes is used to assign probability values, the method used to assign probabilities is referred to as the a. relative frequency method b. probability method c. classical method d. subjective method Classical method If P(A)=0.38, P(B)=0.83, and P(A∩ B)=0.57; then P( A U B)= a. 1.78 b. 0.78 c. 0.64 d. 1.21 0.64 If P(A)=0.62, P(B)=0.47 and P(A U B)=.88; then P(A ∩ B)= a. 0.6700 b. 0.2100 c. 1.9700 d. 0.2914 0.2100 If A and B are independent events with P(A)=0.2 and P(B)=0.6, then P(A U B)= a. 0.60 b. 0.68 c. 0.62 d. 0.12 0.68 Of five letters (A, B, C, D, and E), two letters are to be selected at random. How many possible selections are there? a. 20 b. 10 c. 5! d. 7 10 Which of the following statements is (are) always true? a. P(A)+P(B)=1 b. P(A)=1-P(A^c) c. -1 ≤ P(Ei) ≤ 1 d. both P(A)=1-P(A^c) and P(A)+P(B)=1 P(A)=1-P(A^c) In the set of all past due accounts, let the event A mean the account is between 31 and 60 days past due and the event B mean the account is that of a new customer. The intersection of A and B is a. all new customers b. all accounts fewer than 31 or more than 60 days past due c. all new customers whose accounts are between 31 and 60 days past due d. all accounts from new customers and all accounts that are from 31 to 60 days past due c. all new customers whose accounts are between 31 and 60 days past due If A and B are independent events with P(A)=.1 and P(B)=.4, then a. P(A∩B)=0 b. P(A U B )=.5 c. P(A ∩ B)=.04 d. P(A ∩ B)=.25 P(A ∩ B)=.04 A list of all possible outcomes of an experiment is called a. the experimental outcome b. the likelihood set c. the sample space d. the sample point the sample space The probability of an event is the sum of probabilities of the sample points in the event If P(A)=0.85, P(A U B)=0.72, and P(A ∩ B)=0.66, then P(B)= a. 0.53 b. 0.15 c. 0.15 d. 0.28 0.53 If P(A)=.50, P(B)=0.60, AND P(A ∩ B)=.30; then events A and B are independent events NOT ON TEST: A lottery is conducted using three urns. Each urn contains chips numbered from 0 to 9. One chip is selected at random from each urn. The total number of sample points in the sample space a. 100 b. 30 c. 729 d. 1,000 D. 1,000 (NOT ON TEST DONT WORRY)