Unit 3 Statstic Project

Unit 3 Project

Part 1.

Walmart executives,

I am a statistician specializing in small town statistics consulting. I have heard about your plans and have formulated a strategy for you to use.

With a population of 18,000 I would recommend we use a sampling size of around 500 citizens of this town.
The sampling frame should include people of all demographics, blue collar and white collar workers men and women over the age of 18. I would like to do a Systematic SRS sample to avoid bias. We will deposit the survey into mailboxes By using my survey you will save on costs and get quality reponses.

Survey

• Please tear off bottom of sample for coupon to smallviews Big Eats.

Question: How many times per month do you shop at walmart?
0
1
2
3
4 or more

Significance: If majority people are frequently traveling to walmart then putting one in the town makes sense, the people will save in gas and time, however, if majority do not go to walmart, I see no reason to add the store to smallview.

Question: Do you or a family member own a small local store? I.e small electronics store, local produce, hardware and farming supplies, etc.
Yes-1
No-2
Significance: While not genuinely quantifiable, We can give place holders of 1 for Yes and 2 for No. This also gives more background as to possible negative implications for placing a walmart in smallview, if majority answers yes then the majority will see negative repercussions for walmart making the move.

Question: How many miles would you like to drive to your nearest walmart?
0
10
20
30
40
Significance: This will determine if the customers, if they do shop at walmart, want a store that's closer to them.

Part 2.

1. Cash 5 – Use the EZ match odds. =
   .63 is the expected value, $ -.37 are the expected winnings

1. Lucky for Life= 18,500,000(1/30821472)+1,750,000(1/1813028)+5000(1/143356)+200(1/8433)+150(1/3413)+20(1/201)+25(1/250)+3(1/15)+6(1/50)+4(1/32)=
   2.30 expected value, $ -.30 are the expected winnings

1. MegaMillions= 1.18 expected value, $ -.82 are the expected winnings

1. Powerball (no multiplier)=
   321,000,000(1/292201338)+1,000,000(1/11688054)+50000(1/913129)+100(1/36525)+100(1/14494)+7(1/580)+7(1/701)+4(1/92)+4(1/38)= 1.42 expected value, $ -.58 are the expected winnings

Scratch – offs (Create your probabilities based on initial numbers)

1. Loose Change
   5000(2/10)+500(14/50)+200(147/503)+100(889/2925)+40(3056/9902)+30(4703/15369)+20(1202/39395)+10(30337/98527)+6(12356/39395)...... = 1.26 expected value, $ -.26 are the expected winnings

2. Million Dollar Fever
   $1,000,000(1/1,320,000.00)+10,000(1/88,000.00)+5,000(1/69,473.68)+1,000(1/5,000.00)+500(1/2,400.00)+250(1/2,000.00)+100(1/76.00)+50(1/117.)+40(1/120.00)+20(1/10.00)+15(1/15.00)+10(1/10.00)= 14.37 expected value, $ -4.37 are the expected winnings

3. Spicy Cash
   20000(1/720000)+5000(1/360000)+1000(1/40000)+500(1/40000)+100(1/558.14)+50(1/545.45)+40(1/872.73)+20(1/120)+10(1/50)+5(1/75)+4(1/13.64)+2(1/10)= 1.32 expected value, $ -.68 are the expected winnings.

4. $50 Frenzy
   5000(1/1560000)+100(1/12000)+50(1/268.16)+20(1/600)+10(1/200)+5(1/150)+3(1/75)+2(1/13.04)+1(1/10)= .61 expected value, $ -.39 are the expected winnings.