Page 285 - DCOM203_DMGT204_QUANTITATIVE_TECHNIQUES_I

Quantitative Techniques – I

Notes Self Assessment

Fill in the blanks:
11. The ............................. to given data implies the determination of expected (or theoretical)
frequencies for different values of the random variable on the basis of data.

12. The purpose of fitting a distribution is to examine whether the observed frequency
distribution can be regarded as a ................................. from a population with a known
probability distribution.
13. To fit a binomial distribution to the given data, we find its ...............................
14. A distribution is known if the values of its .............................. are known.
Multiple Choice Questions:

15. Binomial distribution is often used in various ................................... situations in business.
(a) Analytic (b) Decision tree
(c) Decision free (d) Decision-making

16. Acceptance sampling plan, a technique of quality control, is based on ............................
(a) Sampling (b) Binomial distribution
(c) Poisson distribution (d) Normal distribution
17. The values of different coefficients, for different values of n, can be obtained directly by
using ..............................
(a) Triangle (b) Hero triangle
(c) Pascal Triangle (d) None

Case Study Efficiency of Machine

rom past experience it is known that a machine is set up correctly on 90% of occasions.
If the machine is set up correctly then 95% of good parts are expected but if the
Fmachine is not set up correctly then the probability of a good part is only 30%.
On a particular day the machine is set up and the first component produced and found to
be good. What is the probability that the machine is set up correctly?

13.4 Summary

The study of a population can be done either by constructing an observed (or empirical)
frequency distribution, often based on a sample from it, or by using a theoretical
distribution.
A theoretical probability distribution gives us a law according to which different values
of the random variable are distributed with specified probabilities.

It is possible to formulate such laws either on the basis of given conditions (a priori
considerations) or on the basis of the results (a posteriori inferences) of an experiment.

280 LOVELY PROFESSIONAL UNIVERSITY