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Chapter 8: Continuous Probability Distributions: 8-1b Using a Continuous Distribution to Approximate a Discrete Distribution
Book Title: Statistics for Management and Economics
Printed By: JOB POLVORIZA (job.polvoriza.music@ust.edu.ph)
© 2018 Cengage Learning, Cengage Learning
In our definition of discrete and continuous random variables, we distinguish between them
by noting whether the number of possible values is countable or uncountable. However, in
practice, we frequently use a continuous distribution to approximate a discrete one when the
number of values the variable can assume is countable but large. For example, the number
of possible values of weekly income is countable. The values of weekly income expressed
in dollars are 0, .01, .02, …. Although there is no set upper limit, we can easily identify (and
thus count) all the possible values. Consequently, weekly income is a discrete random
variable. However, because it can assume such a large number of values, we prefer to
employ a continuous probability distribution to determine the probability associated with
such variables. In the next section, we introduce the normal distribution, which is often used
to describe discrete random variables that can assume a large number of values.
Exercises
8.1. Refer to Example 3.2. From the histogram for investment A, estimate the
following probabilities.
8.2. Refer to Example 3.2. Estimate the following from the histogram of the
returns on investment B.
8.3. Refer to Example 3.3. From the histogram of the marks, estimate the
following probabilities.
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8.5. A uniformly distributed random variable has minimum and maximum values
of 20 and 60, respectively.
8.6. The amount of time it takes for a student to complete a statistics quiz is
uniformly distributed between 30 and 60 minutes. One student is selected at
random. Find the probability of the following events.
8.7. Refer to Exercise 8.6. The professor wants to reward (with bonus marks)
students who are in the lowest quarter of completion times. What completion
time should he use for the cutoff for awarding bonus marks?
8.8. Refer to Exercise 8.6. The professor would like to track (and possibly help)
students who are in the top 10% of completion times. What completion time
should he use?
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8.9. The weekly output of a steel mill is a uniformly distributed random variable
that lies between 110 and 175 metric tons.
a. Compute the probability that the steel mill will produce more than 150
metric tons next week.
b. Determine the probability that the steel mill will produce between 120
and 160 metric tons next week.
8.10. Refer to Exercise 8.9. The operations manager labels any week that is in
the bottom 20% of production a “bad week.” How many metric tons should be
used to define a bad week?
e. Find .
8.12. The following function is the density function for the random variable X:
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Chapter 8: Continuous Probability Distributions: 8-1b Using a Continuous Distribution to Approximate a Discrete Distribution
Book Title: Statistics for Management and Economics
Printed By: JOB POLVORIZA (job.polvoriza.music@ust.edu.ph)
© 2018 Cengage Learning, Cengage Learning
© 2020 Cengage Learning Inc. All rights reserved. No part of this work may by reproduced or used in any form or by any means -
graphic, electronic, or mechanical, or in any other manner - without the written permission of the copyright holder.
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