AMDM Final Exam Practice

Front

What is the probability of winning a game where you must hit a target two times in a row, given that the probability of hitting the target once is 63%?

Back

39.6% (Calculated as 0.63 * 0.63 = 0.396)

Front

What does it mean if a data set is skewed right?

Back

A right-skewed distribution has a longer tail on the right side, indicating that there are a few high values that pull the mean to the right of the median.

Front

How do you calculate monthly income from an annual salary of $34,000?

Back

Monthly income = Annual salary / 12 = $34,000 / 12 = $2,833.33.

Front

What is the formula for compound interest?

Back

A = P(1 + r/n)^(nt), where A is the amount of money accumulated after n years, including interest. P is the principal amount, r is the annual interest rate, n is the number of times that interest is compounded per year, and t is the number of years.

Front

What is the difference between simple interest and compound interest?

Back

Simple interest is calculated only on the principal amount, while compound interest is calculated on the principal and also on the accumulated interest from previous periods.

Front

How do you determine the shape of a data set?

Back

By analyzing the distribution of the data points, looking for symmetry, skewness, and outliers.

Front

What is a tree diagram in probability?

Back

A tree diagram is a visual representation of all possible outcomes of a probability experiment, showing the paths to each outcome.

Front

What is the expected value in probability?

Back

The expected value is the average of all possible outcomes, weighted by their probabilities.

Front

How do you convert an hourly wage to an annual salary?

Back

Annual salary = Hourly wage x Hours per week x Weeks per year.

Front

What is the significance of the median in a data set?

Back

The median is the middle value that separates the higher half from the lower half of the data set, providing a measure of central tendency that is less affected by outliers.