Question

1. The following are the valuations in thousands of dollars of 16 randomly selected properties sold during the past year: 130, 110, 130, 130, 120, 140, 120, 110, 150, 150, 130, 140, 130, 130, 120, 140. Based on Chebyshev's Inequality, the range that should include at least 75% of property valuations is closest to:

a. 117.89, 142.11

b. 105.78, 154.22

c. 93.67, 166.33

d. 81.56, 178.44

2. A market research company has collected data on the price of a particular brand of soap in several different locations. The price data are as follows: $0.89, $0.95, $1.25, $1.36, $1.49, $1.65, $1.79, $1.89, $1.99. The upper and lower quartiles of soap prices for this brand of soap are closest to:

	a.	$1.48; $1.07
	b.	$1.72; $1.17
	c.	$1.84; $1.1
	d.	$2.21; $0.74

Answer 1

1)

since from Chebychev :

2 standard deviation from mean values contain at least 75% of the data

Corresponding interval =130 -/+ 2*12.1106 =105.78 to 154.22

option B is correct: 105.78, 154.22

2)

lower quartile =middle value of lower half =(0.95+1.25)/2=1.1

upper quartile =middle value of upper half =(1.79+1.89)/2=1.84

option C is correct: 1.84 ,1.1