Business Statistics MATH 190 / BUSN 190 - Excel Assignment Chapter 6

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Chapter 6 Technology Assignment.

Question #1 on p. 243 (you will need to look at your textbook to complete this problem.)

Use Excel's statistics functions to calculate P(r).

This assignment asks you to calculate a bunch of probabilities. You know how to do this by hand already, but when you have a lot to do, setting up tables in Excel will do it for you much quicker.

First of all, set up some columns & rows in Excel, so you have a place for each of your probabilities. You may set up something like this (the r column should begin with 0 not 1!):

ch6 step1

To calculate the P(r), click on the fx (See red circle, above). Choose the Statistical category, then choose BINOMDIST. (Alternately, you can just type in =BINOMDIST( ) into the cell):

ch6 step2

It will ask you for four numbers:

Excel Variable Meaning
number_s r - Number of successes
trials n - In this problem, always just 31
probability_s p - probability of success
cumulative Enter "FALSE". It's asking if we want P(at least r successes) rather than just P(r). We don't.

For number_s, click on the corresponding r value, for trials, type in 31, for probability_s, click on the corresponding probability. It will look something like this:

ch6 step3

Click OK, then the formula will be entered into that cell. You should be able to repeat the formula by dragging it down to the other cells.

Repeat this process for the other five locations (you might be able to copy and paste - just be sure to change your probability values and double check the formulas!)

Question #2

You will now calculate the expected value and the standard deviation for each city, using the binomial distribution formulas for each. You may want to set up something like this:

Since the expected value is = n*p, use this formula in the cells, with n=31 and p=given probability.

For standard deviation the formula is = the square root of n*p*q, it should look like this:

Finish finding expected value and standard deviation for all of the locations.

Save and send according to instructions listed on the home page.

If you have any questions, email Angela Loudon on BUBBS.

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