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A marketer uses random digit dialing to call people and try to interest them in

ID: 3124268 • Letter: A

Question

A marketer uses random digit dialing to call people and try to interest them in donating to a national charitable organization. From past experience, she is successful on 2% of her calls. In a typical workday she makes 200 calls. Let X represent the number of calls on which she is successful.

A. Is X a binomial distribution? Explain.

B. Calculate the mean and standard deviation of X and provide and interpretation of the mean.

C. What is the probability that on any given day she has 0 successful calls?

Explanation / Answer

There are two outcomes success or failure

Also each call is independent.

A) Since two outcomes are there and each call is independent X is binomial with N = 200 and p = 0.02

B) Mean of x = Np = 4

Std dev of X = sq root Npq = 0.566

Mean implies that in 200 calls we may expect 4 calls on an average to be success.

C) P(x=0) = (1-p)200

= (0.98)200

= 0.0176

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