The U.S. Bureau of Labor Statistics released hourly wage figures
for various countries for workers in the manufacturing sector. The
hourly wage was $30.67 for Switzerland, $20.20 for Japan, and
$23.82 for the U.S. Assume that in all three countries, the
standard deviation of hourly labor rates is $3.00.
Appendix A Statistical Tables
a. Suppose 38 manufacturing workers are selected
randomly from across Switzerland and asked what their hourly wage
is. What is the probability that the sample average will be between
$30.00 and $31.00?
b. Suppose 36 manufacturing workers are selected
randomly from across Japan. What is the probability that the sample
average will exceed $21.00?
c. Suppose 48 manufacturing workers are selected
randomly from across the United States. What is the probability
that the sample average will be less than $23.00?
Answer)
As the population standard deviation is mentioned here, we can use standard normal z table to estimate the probabilities
Z = (x - mean)/(s.d/√n)
A)
Switzerland
Mean = 30.67
S.d = 3
N = 38
P(30<x<31) = p(x<31) - p(x<30)
P(x<31)
Z = (31 - 30.67)/(3/√38) = 0.68
From z table, P(z<0.68) = 0.7517
P(x<30)
Z = (30-30.67)/(3/√38) = -1.38
From z table, P(z<-1.38) = 0.0838
Required probability is 0.7517 - 0.0838 = 0.6679
B)
For japan
Mean = 20.2
N = 36
P(x>21)
Z = (21 - 20.2)/(3/√36) = 1.6
From z table, P(z>1.6) = 0.0548
C)
For US
mean = 23.82
N = 48
P(x<23)
Z = (23-23.82)/(3/√48) = -1.89
From z table,
P(z<-1..89) = 0.0294
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