# if a person bought 1 share of google stock within the last year,

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PROJECT 3 INSTRUCTIONS: Probability & Stastics

Based on Larson & Farber: sections 6.1–6.3

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? Hint: Use the Empirical Rule, do not calculate the mean. The answer is easy.

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? Hint: Use Excel to find the mean and standard deviation. Then find the z score.

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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? Hint: Find two z scores.

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 by using the Empirical Rule.

5.        At what prices 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? Use Excel to find these values.

7.        Is the normality assumption that was made at the beginning valid? Why or why not? Hint: Construct a histogram.

mean is 800.0105 Standard devation is 78.76846

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