Basic Business Statistics, Student Value Edition
Basic Business Statistics, Student Value Edition
14th Edition
ISBN: 9780134685113
Author: Mark L. Berenson, David M. Levine, David F. Stephan, Kathryn Szabat
Publisher: PEARSON
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Chapter 7, Problem 20PS

An IAB study on the state of original digital video showed that original data video is becoming increasingly popular. Original digital video is defined as professionally produced video only for ad-supported online distribution and viewing (not TV). According to IAB data, 26 % of America adults 18 + watch original digital videos each month.

a. Suppose that you take a sample of 100 U.S. adults. If the population of U.S. adults who watch original digital videos is 0.26, what is the probability that fewer than 21 % in your sample will watch digital videos?

b. Suppose that you take a sample of 500 U.S. adults. If the population of U.S. adults who watch original videos is 0.26, what is the probability that fewer than 21 % in your sample will watch digital videos?

c. Discuss the effect of sample size on the sampling distribution of the proportion in general and the effect on the probabilities in (a) and (b).

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Basic Business Statistics, Student Value Edition

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