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QUESTION

The host probability distribution (e.

1. The host probability distribution (e.g., wages of individuals) whose mean you wish to estimate is not normally distributed, and yet your analysis of the mean of a random sample involves the normal distribution. Explain why.

2. Suppose Z1,..., Z7 are i.i.d., with the distribution N(0, 1). Determine Pr[z bar≤ .8].

3. Suppose X1,..., X7 are i.i.d., with the distribution N(25, 18). Determine Pr[x bar≤ 27].

4. Suppose Z1,..., Z7 are i.i.d., with the distribution N(0, 1). What is the probability that they all yield values less than 1.8?

a. Pr[Z≤.8]-Pr[Z>-0.2]=Pr[Z≤.8]-(1-Pr[Z≤.2])=0.7881-(1-0.5793)=0.3074b. (27-25)/(18^0.5)=2/4.24264068712=0.47c. Pr[Z≤1.8]=0.9641
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