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Statistics
1. If all the physicians are either hematologists or neurologists, then there are no cardiologists. But Dr. Frank is a cardiologist. Therefore, some physicians are not neurologists. (P, H, N, C)2.
Jessica has long admired Rachel's near-perfect body, and she notes that Rachel works out on a Roboflex exercise machine. Jessica concludes that if she buys a Roboflex for herself, she will be able to
The Fourth Amendment to the U.S. Constitution prohibits unreasonable searches and seizures. A search is defined as a "violation of a person's reasonable expectation of privacy by the police." Legal
The First Amendment to the U.S. Constitution states that Congress shall make no law abridging the freedom of speech or the right to peaceable assembly. This "law" applies to states (and cities) as a
Constructive eviction is a legal doctrine by which a landlord who substantially interferes with a tenant's use and enjoyment of the premises will be considered to have evicted the tenant. Such a
A negligent person who causes an injury to another person is liable for the latter's injuries. Because it is sometimes very difficult to determine the causal extent of a negligent action, courts have
Harold needs to have his rugs cleaned, and his friend Veronica reports that Ajax Carpet Service did an excellent job on her rugs. From this, Harold concludes that Ajax will do an equally good job on
Kristin is president of a corporation that operates a chain of clothing stores, and she faces the task of hiring a manager to replace a man who retired from one of the stores. The former manager
Sam has planned a one-day fishing trip in Alaska. He intends to fish off Rocky Point, where he fished last year. Because he caught five fish in a one-day outing last year, Sam concludes that he will
Susan is considering a job as public relations specialist with the Chamber of Commerce. Her friend Terry took such a job one year ago, and within nine months her annual salary was $50,000. Susan
Paul is searching for a puppy that will grow up to be friendly with his children. His friend Barbara has an Airedale terrier that is good with her children. From this, Paul concludes that an Airedale
Laura is considering taking Calculus I from Professor Rogers. Her friend Gina took Professor Rogers for this class and got an A. Laura concludes that she, too, will get an A from Professor Rogers.
Andrew is thinking about buying stock in E-Tron, a new company that sells electronic equipment over the Internet. Six months ago, he bought shares in E-Boot, a new company that sells shoes over the
According to the doctrine of adverse possession, a person occupying a piece of land in a way that is open, notorious, and hostile to the owner's rights can claim ownership of the land after a certain
Identify the kind of causality intended by the following statements. Is the cause a sufficient condition, necessary condition, or both sufficient and necessary condition?1. Throwing a brick through
To determine the effectiveness of an oil additive, a testing firm purchased two cars of the same make, year, and model, and drove each a distance of 30,000 miles using the same kind of gasoline, the
A psychiatrist had six adult women patients who suffered blurred ego boundaries. These patients were distinguished by the following characteristics. Meg and Sue had been subjected to corporal
A metallurgist added eight substances in various combinations to seven samples of molten aluminum for the purpose of producing aluminum alloys. The metallurgist was interested in producing an alloy
A doctor has five patients who suffer from an unusual form of cancer. The patients are distinguished by the following living conditions. Davis, Jones, and Ellis live in a smoggy area near
Two of Mr. Andrews's rose bushes became infected with aphids. Mr. Andrews proceeded to spray one of the bushes with malathion insecticide but left the other bush untouched. The two bushes are both
A sociologist conducted a study to determine if a correlation exists between grade point average at the time of graduation and income ten years after graduation. The sociologist visited the alumni
A cosmetics manufacturer tested a new cleansing cream on forty rabbits. The rabbits were virtually the same genetically and were the same age. Twenty of the rabbits were randomly placed in the
An eighth-grade teacher had five pupils who read very well. These pupils were distinguished by the following features. Tom came from a large family, had professional parents who were not wealthy, had
The repair manager for a manufacturer of desktop computers noticed that a large number of units were being returned for repairs. The manager selected a sample of seven returned units and noticed that
A manufacturer of fishing equipment conducted a test of its products by giving them to eight fishermen who used them with the following results. Ed and Flo used a Hot Spot lure and caught no fish.
Nancy was contemplating the purchase of a new oven for her kitchen, but she could not decide between an electric or a gas unit. Thus, she decided to conduct an experiment using the ovens-one gas, one
Mrs. Wilkins sometimes has trouble sleeping. In order to determine the cause, she decided to take note of her pre-bedtime behavior over the course of a week. On Monday she drank chamomile tea, had a
A man developed an allergic reaction to an unknown food. His doctor asked him about foods that often cause allergic reactions, and the man replied that he had eaten coconut, chocolate, nuts, milk
Identify the cause suggested by the information presented in the following tables. Is the cause a sufficient condition, necessary condition, or both sufficient and necessary condition? Can you
1. What is the probability of rolling a five on a single roll of a die? What are the odds for this event?2. From a sample of 9,750 Ajax trucks, 273 developed transmission problems within the first
1. What is the probability of getting either a six or a one from a single roll of a die?2. What is the probability of getting heads on three successive tosses of a coin?3. What is the probability of
Given an urn containing three red, four green, and five yellow balls, if two balls are drawn from the urn (without replacement), what is the probability thata. Both are red?b. One is green, the other
What is the probability of drawing either an ace or a king (or both) on three draws (without replacement) from a poker deck?
What is the probability of drawing an ace and a king on three draws (without replacement) from a poker deck?
The probability of a twenty-year-old man living to age seventy is .74, and the probability of a twenty-year-old woman living to the same age is .82. If a recently married couple, both age twenty,
1. Assign a numerical value to the strength of the following argument: The odds are 5 to 3 that the Indians will win the American League pennant and 7 to 5 that the Cardinals will win the National
We are given three new urns each containing seven red, five green, and three white balls, and two old urns each containing five red, three green, and seven white balls. The urns are identical except
Knowing that your friend Angella studies for her tests only 40 percent of the time, you place an even bet with a third party that Angella will not study for her upcoming test. Later, you just happen
A physician has diagnosed a patient as having either hepatitis or liver cancer (but not both). Statistics reveal that hepatitis occurs in the general population twice as frequently as liver cancer.
Ms. Jones, a bookstore owner, wishes to send out an advertisement to potential customers. She estimates that 20 percent of the town's residents are recreational readers, and she knows that all of the
Mr. Andrews, a grape merchant, inquires about a certain wine that he tastes at a party. The host tells him that from a total of ten bottles of that wine, six came from the north vineyard and four
What is the probability of drawing two aces from a poker deck in two drawsa. If the first card is replaced before the second is drawn?b. If the first card is not replaced before the second is drawn?
What is the probability of drawing at least one ace from a poker deck on two draws if the first card is replaced before the second is drawn?
What is the probability of getting at least one head on three tosses of a coin?
What is the probability of getting at least one six on three rolls of a die?
If a pair of dice are rolled, what is the probability that the points add up toa. Five?b. Six?c. Seven?
Given two urns, one containing two red, three green, and four yellow balls, the other containing four red, two green, and three yellow balls, if a single ball is drawn from each urn, what is the
To test the algae content in a lake, a biologist took a sample of the water at one end. The algae in the sample registered 5 micrograms per liter. Therefore, the algae in the lake at that time
Janet Ryan can afford to pay no more than $15 for a birthday gift for her eight year-old daughter. Since the average price of a toy at General Toy Company is $15, Janet can expect to find an
Anthony Valardi, who owns a fish market, pays $2 per pound to fishermen for coho salmon. A certain fisherman certifies that the average size of the salmon in his catch of the day is 10 pounds, and
Pamela intends to go shopping for a new pair of shoes. She wears size 8. Since the average size of the shoes carried by the Bon Marche is size 8, Pamela can expect to find an excellent selection of
Tim Cassidy, who works for a construction company, is told to load a pile of rocks onto a truck. The rocks are randomly sized, and the average piece weighs 50 pounds. Thus, Tim should have no trouble
The average IQ (in the sense of mean, median, and mode) of the students in Dr. Jacob's symbolic logic class is 120. Thus, none of the students should have any trouble mastering the subject
An insecticide manufacturer prints the following graph on the side of its spray cans:Obviously, the insecticide is highly effective at killing bugs, and it keeps working for a long time. Criticize
1. A corporation's sales for two consecutive years are represented in a bar graph. Since the bar for the later year is twice as high as the one for the previous year, it follows that sales for the
During a certain year, a grocery store chain had total sales of $100 million and profits of $10 million. The profits thus amounted to a modest 10 percent for that year. Criticize the above arguments
1. There were 20 percent more traffic accidents in 2016 than there were in 1995. Therefore, it was 20 percent more dangerous to drive a car in 2016 than it was in 1995. 2. An efficiency expert was
To estimate public support for a new municipality-funded convention center, researchers surveyed 100 homeowners in one of the city's fashionable neighborhoods. They found that 89 percent of those
A pharmaceutical company claims that its new cholesterol drug reduces the likelihood of a heart attack by 50 percent. In a clinical trial consisting of 400 people, four people in the group not taking
A quality-control inspector for a food-processing firm needed assurance that the cans of fruit in a production run were filled to capacity. He opened every tenth box in the warehouse and removed the
When a random sample of 600 voters was taken on the eve of the presidential election, it was found that 51 percent of those sampled intended to vote for the Democrat and 49 percent for the
To determine the public's attitude toward TV soap operas, 1,000 people were contacted by telephone between 8:00 a.m. and 5:00 p.m. on weekdays. The numbers were selected randomly from the phone
To predict the results of a U.S. Senate race in New York State, two polls were taken. One was based on a random sample of 600 voters, the other on a random sample of 2,400 voters. Since the second
In a survey conducted by the manufacturers of Ultrasheen toothpaste, 65 percent of the dentists randomly sampled preferred that brand over all others. Clearly, Ultrasheen is the brand preferred by
1. To determine the percentage of adult Americans who have never read the U.S. Constitution, surveyors put this question to a random sample of 1,000 adults. Only 13 percent gave negative answers.
1. What figures should be written in the left-hand column of Table 12.1, in the text, to produce a similar table based on a confidence level of 99 percent? For a confidence level of 99 percent, the
Answer “true” or “false” to the following statements:1. If a sample is very large, it need not be randomly selected.2. If a population is randomly arranged, a sample obtained by selecting
For the four scientific discoveries presented in this chapter, identify the problem, the hypotheses that were formulated, the implications that were drawn, and the test procedure that was used.
Answer “true” or “false” to the following statements:1. Hypothetical reasoning is useful when the evidence by itself does not provide the solution to the problem.2. Hypotheses are derived
The table below gives current information on the interest rates for two two-year and two eight-year maturity investments. The table also gives the maturity, liquidity, and default risk
A client has agreed to invest €100,000 one year from now in a business planning to expand, and she has decided to set aside the funds today in a bank account that pays 7 percent compounded
A client can choose between receiving 10 annual $100,000 retirement payments, starting one year from today, or receiving a lump sum today. Knowing that he can invest at a rate of 5 percent annually,
A perpetual preferred stock position pays quarterly dividends of $1,000 indefinitely (forever). If an investor has a required rate of return of 12 percent per year compounded quarterly on this type
At retirement, a client has two payment options: a 20-year annuity at €50,000 per year starting after one year or a lump sum of €500,000 today. If the client's required rate of return on
You are considering investing in two different instruments. The first instrument will pay nothing for three years, but then it will pay $20,000 per year for four years. The second instrument will pay
Suppose you plan to send your daughter to college in three years. You expect her to earn two-thirds of her tuition payment in scholarship money, so you estimate that your payments will be $10,000 a
A client is confused about two terms on some certificate-of-deposit rates quoted at his bank in the United States. You explain that the stated annual interest rate is an annual rate that does not
A client seeking liquidity sets aside €35,000 in a bank account today. The account pays 5 percent compounded monthly. Because the client is concerned about the fact that deposit insurance covers
A client plans to send a child to college for four years starting 18 years from now. Having set aside money for tuition, she decides to plan for room and board also. She estimates these costs at
A couple plans to pay their child's college tuition for 4 years starting 18 years from now. The current annual cost of college is C$7,000, and they expect this cost to rise at an annual rate of 5
A client has a $5 million portfolio and invests 5 percent of it in a money market fund projected to earn 3 percent annually. Estimate the value of this portion of his portfolio after seven years?
You are analyzing the last five years of earnings per share data for a company. The figures are $4.00, $4.50, $5.00, $6.00, and $7.00. At what compound annual rate did EPS grow during these years?
An analyst expects that a company's net sales will double and the company's net income will triple over the next five-year period starting now. Based on the analyst's expectations, which of the
A client invests $500,000 in a bond fund projected to earn 7 percent annually. Estimate the value of her investment after 10 years?
For liquidity purposes, a client keeps $100,000 in a bank account. The bank quotes a stated annual interest rate of 7 percent. The bank's service representative explains that the stated rate is the
A bank quotes a rate of 5.89 percent with an effective annual rate of 6.05 percent. Does the bank use annual, quarterly, or monthly compounding?
A bank pays a stated annual interest rate of 8 percent. What is the effective annual rate using the following types of compounding? A. Quarterly. B. Monthly. C. Continuous.
A couple plans to set aside $20,000 per year in a conservative portfolio projected to earn 7 percent a year. If they make their first savings contribution one year from now, how much will they have
Two years from now, a client will receive the first of three annual payments of $20,000 from a small business project. If she can earn 9 percent annually on her investments and plans to retire in six
To cover the first year's total college tuition payments for his two children, a father will make a $75,000 payment five years from now. How much will he need to invest today to meet his first
Waldrup Industries is considering a proposal for a joint venture that will require an investment of C$13 million. At the end of the fifth year, Waldrup's joint venture partner will buy out Waldrup's
Waldrup Industries has committed to investing C$5,500,000 in a project with expected cash flows of C$1,000,000 at the end of Year 1, C$1,500,000 at the end of Year 4, and C$7,000,000 at the end of
Bestfoods, Inc. is planning to spend $10 million on advertising. The company expects this expenditure to result in annual incremental cash flows of $1.6 million in perpetuity. The corporate
Trilever is planning to establish a new factory overseas. The project requires an initial investment of $15 million. Management intends to run this factory for six years and then sell it to a local
Westcott-Smith is a privately held investment management company. Two other investment counseling companies, which want to be acquired, have contacted Westcott-Smith about purchasing their business.
John Wilson buys 150 shares of ABM on 1 January 2012 at a price of $156.30 per share. A dividend of $10 per share is paid on 1 January 2013. Assume that this dividend is not reinvested. Also on 1
Mario Luongo and Bob Weaver both purchase the same stock for €100. One year later, the stock price is €110 and it pays a dividend of €5 per share. Weaver decides to buy another share at €110
A Treasury bill with a face value of $100,000 and 120 days until maturity is selling for $98,500. A. What is the T-bill's bank discount yield? B. What is the T-bill's money market yield? C. What is
Jane Cavell has just purchased a 90-day US Treasury bill. She is familiar with yield quotes on German Treasury discount paper but confused about the bank discount quoting convention for the US T-bill
Identify each of the following groups as a population or a sample. If the group is a sample, identify the population to which the sample is related. A. The S&P MidCap 400 Index viewed as representing
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