PROJECT 3 INSTRUCTIONS: Probability & Stastics
Based on Larson & Farber: sections 6.16.3
Go to this website. Click the link on the right that says, Download
to Spreadsheet. Set the date range to end on the first day (Tuesday) of
Module/Week 5 and going back exactly 1 year. Assume that the closing
prices of the stock form a normally distributed data set. Do not
manually count values in the data set, but use the ideas found in
sections 5.25.3. Answer the following:
1. If a person bought 1 share of Google stock within the last year,
what is the probability that the stock on that day closed at less than
the mean for that year?
2. If a person bought 1 share of Google stock within the last year,
what is the probability that the stock on that day closed at more than
$500?
3. If a person bought 1 share of Google stock within the last year,
what is the probability that the stock on that day closed within $45 of
the mean for that year?
4. Suppose a person within the last year claimed to have bought
Google stock at closing at $400 per share. Would such a price be
considered unusual? Explain.
5. At what price would Google have to close at in order for it to be
considered statistically unusual? You should have a low and high value.
6. What are Q1, Q2, and Q3 in this data set?
7. Is the assumption that was made at the beginning valid? Why or why not?PROJECT 3 INSTRUCTIONS: Probability & StasticsBased on Larson & Farber: sections 6.16.3Go to this website. Click the link on the right that says, Download
to Spreadsheet. Set the date range to end on the first day (Tuesday) of
Module/Week 5 and going back exactly 1 year. Assume that the closing
prices of the stock form a normally distributed data set. Do not
manually count values in the data set, but use the ideas found in
sections 5.25.3. Answer the following:1. If a person bought 1 share of Google stock within the last year,
what is the probability that the stock on that day closed at less than
the mean for that year?2. If a person bought 1 share of Google stock within the last year,
what is the probability that the stock on that day closed at more than
$500?3. If a person bought 1 share of Google stock within the last year,
what is the probability that the stock on that day closed within $45 of
the mean for that year?4. Suppose a person within the last year claimed to have bought
Google stock at closing at $400 per share. Would such a price be
considered unusual? Explain.5. At what price would Google have to close at in order for it to be
considered statistically unusual? You should have a low and high value.6. What are Q1, Q2, and Q3 in this data set?7. Is the assumption that was made at the beginning valid? Why or why not?
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