2.2 The Poisson distribution
2.2 The Poisson distribution
Chapter 2
The Poisson distribution
In this chapter you will learn how to:
PREREQUISITE KNOWLEDGE
Where it comes from What you should be able to do Check your skills
Probability & Statistics 1, Calculate probabilities using the 1 If X ~ B(10, 0.2), find:
Chapter 7 binomial distribution. a P( X = 7)
b P( X , 2)
Probability & Statistics 1, Use normal distribution tables. 2 If X ~ N(16, 1.8), find:
Chapter 8 a P( X , 20)
b P(13 , X , 15)
Pure Mathematics 2 & 3, Evaluate exponential 3 Giving your answers to 3
Chapter 2 expressions. significant figures, evaluate:
a e −2
b e−3.6
c e −9
Chapter 1 Formulate and carry out 4 State the null and alternative
hypothesis testing. hypotheses and test statistic for a
test for the population mean for the
random variable X ~ N(42, 8),
sample value 45; two-tailed test
at 10% level of significance.
26
Number of deaths 0 1 2 3 4
Frequency 144 91 32 11 2
Each data point in the table represents the number of accidental deaths from horse kicks in
one corps in one year; so there are 144 + 91 + 32 + 11 + 2 = 280 data points in total.
From the data, the mean average number of accidental deaths from horse kicks in one
year is 0.7 (as shown in Section 2.1). The modal number is zero. The most recorded was
four. However, it was possible, although unlikely, for the number of accidental deaths
from horse kicks in an army corps to be much greater than four, and it was not possible to
predict when during each year an accidental death from a horse kick would happen. In this
situation, you count the number of outcomes, accidental deaths from horse kicks, over a
fixed interval, one year.
Numerous other situations have the same characteristics of rare outcomes occurring singly
and at random within a fixed interval. For example, the number of eagles nesting in a
region or the number of bubbles in an item of glassware or the number of typing errors per
page made by a good typist or the number of an insect type in a square metre of farmland.
Notice, too, that the fixed interval can be a period of time or space.
Consider this example. A clinic treats people with severe insect bites. It keeps records
for 100 days. On most days, no more than three people with severe insect bites attend the
clinic, but on one day there are 16 people. The bar chart shows the frequencies.
50
45
40
35
Frequency
30
25
20
15
10
5
27
0 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17
Number of people each day
The bar chart shows what we may expect if each member of a population has the same low
probability of attending the clinic for a severe insect bite. In theory, the maximum number
of people attending the clinic is infinite, but large numbers, much bigger than the mean, are
not expected.
To model these situations, you need a different discrete probability distribution from those
you have already studied. This type of discrete distribution is a Poisson distribution.
Number of deaths, x 0 1 2 3 4
Frequency, f 144 91 32 11 2
We can see that the mean and variance are quite close in value. When working with
experimental data where the outcome or event occurs at random in a given interval and
the mean and variance are almost the same value, a Poisson distribution is a good choice
to model the data further. For reasons we will not explore here, when working with
experimental data we use the mean rather than the variance as the parameter to describe a
Poisson distribution.
To take away some of the pressure from an accident and emergency hospital department A proof of this
during weekdays, a minor injuries clinic opens. To determine possible staffing formula is not needed
requirements, the following data for 250 30-minute intervals are collected. at this stage, but it
will be explained
Number of patients arriving later in the chapter
0 1 2 3 4 5 .5 (Section 2.3); for now
per 30 minutes, x
we will just learn how
Frequency, f 45 81 58 40 22 4 0
to use it.
Σ fx 425
For these data, the mean number of patients per 30-minute interval is = = 1.7
28 Σf 250
Σ fx 2 1125 REWIND
and the variance is − x2 = − 1.72 = 1.61.
Σf 250
A statistician notes that patients arriving at the clinic generally do so independently of You may have already
each other at random intervals. The data are collected for fixed 30-minute intervals. The met the mathematical
mean and variance, 1.7 and 1.61, respectively, are quite close in value. All these factors constant e in the Pure
Mathematics 2 & 3
suggest the Poisson distribution is a suitable model to use. The Poisson model for the data
Coursebook. If you
is as follows:
have not, then you
If X is the random variable ‘number of patients arriving in 30 minutes’, then need to know that
X ~ Po(1.7), E( X ) = 1.7 and Var(X ) = 1.7. e = 2.7183 (to 4
decimal places) and you
For a Poisson distribution with mean λ the probability of an event r occurring is given as: can calculate powers of
λr
P(X = r ) = e − λ . e using a calculator.
r!
For the minor injuries clinic example, if we have r patients arriving in 30-minute intervals,
1.7 r
then P(X = r ) = e −1.7 .
r!
This is the graph of the probabilities of numbers of patients arriving in 30-minute intervals.
0.3
Probability
0.2
0.1
0 1 2 3 4 5 6 7
Number of patients arriving in 30-minute intervals
We can see from the graph that the probabilities peak at lower values of X and begin to get
much smaller for values of X greater than 4. It is possible, although unlikely, that a large
number of patients will arrive in a randomly chosen 30-minute time interval.
1.7 r
Using the probability formula for a Poisson distribution with mean = 1.7, P(X = r ) = e −1.7 ,
r!
we can work out expected frequencies for different numbers of patients. For example, three
1.73
patients arriving in a 30-minute interval P( X = 3) = e −1.7 = 0.150. The expected
3!
number of patients is 250 × P( X = 3) = 250 × 0.150 = 37, to the nearest integer. The 29
following table shows the probabilities and the expected frequencies, together with the
observed frequencies of patients per 30 minutes from the previous table.
A comparison of the expected frequencies with the observed frequencies shows that the
numbers are all reasonably close. This allows us to use the Poisson distribution as a model.
Using the data, the statistician makes calculations and advises the clinic that there is about a
5+2+0
3% chance, × 100, of staff being needed to deal with more than four patients every
250
30 minutes.
EXPLORE 2.1
The data collected by Bortkiewicz given in the introduction is one of the earliest
examples of a Poisson distribution being used as a model. For Bortkiewicz’s data, use
the formula for Poisson probabilities and the calculated mean, 0.7 , to work out the
expected frequencies. Compare your calculated expected frequencies with the actual
data. Does the Poisson distribution appear to be a reasonable model for these data?
What predictions can you make from your theoretical model of the data?
If the random variable X has a Poisson distribution with parameter λ , where λ . 0, we write
X ~ Po(λ ) and:
λr
• P(X = r ) = e − λ , where r = 0, 1, 2, …
r!
• E(X ) = λ
• Var(X ) = λ
E }~ LORE 2.2
30
Using graphing software, such as GeoGebra, explore the shape of the Poisson
distribution for different values of λ .
● What features do you notice?
● How does the shape of the graph change as the value of λ varies?
● For different values of λ , find the value of r where P( X = r ) is at its maximum.
● What do you notice?
● Can you give a general answer in terms of λ ?
TIP
Answer
X ~ Po(6) Always state the When working out
random variable you more than one Poisson
are working with. probability, first
factorise out the
69 term e − λ.
a P( X = 9) = e−6 = 0.0688 Apply the formula.
9!
60 61 62 63 Note
Note that
that ‘three
‘three or
b P(X ø 3) = e −6 + e −6 + e −6 + e −6 or
0! 1! 2! 3! fewer’
fewer’ includes three.
includes 3.
6 2
6
3
Factorise out e −6 to
= e −6 1 + 6 + 2 + 3 !
make the working more
= 0.151 straightforward.
60 61
c P(X . 1) = 1 – e −6 + e −6 = 1 − 0.0174 Remember that the
0! 1!
probability ‘greater
= 0.983 than’ = 1 – probability
‘less than or equal to’.
60
d P( X ù 1) = 1 – P(X = 0) = 1 − e −6 Remember that
0!
P( X ù 1) = P( X . 0). 31
= 1 − 0.00248 = 0.998
Answer
a Assumptions: errors occur independently, Clearly state your assumptions.
singly and at random.
b X ~ Po(5) First state the random variable. Remember that
52 ‘at most’ means up to and including that value.
P(X ø 2) = e −5 1 + 5 + = 0.124652019...
2 !
200 × 0.124652019... = 24.9 or 25 pages
E RCISE 2A
1 X ~ Po(4). Calculate:
a P(X = 5) b P(X , 3) c P(X . 0)
2 X ~ Po(7). Calculate:
a P(X = 6) b P(X ù 3)
3 X ~ Po(1.5). Calculate:
a P(X = 4) b P(X ø 2) c P(X . 2)
M 4 In a particular town, it was found that potholes occur independently and at random at a rate of five in a
1 kilometre stretch of road.
a What is the probability that in a randomly chosen 1 kilometre stretch of road in this town there will be
fewer than three potholes?
b Explain why this model may not be applicable to other towns.
M 6 A manufacturer of chocolate bars states that the number of whole hazelnuts in a randomly
chosen 100 g hazelnut chocolate bar can be modelled as a random variable having a Poisson
distribution with mean 7.2.
a Find the probability that in a randomly chosen 100 g hazelnut chocolate bar there are:
i exactly eight whole hazelnuts
ii at least four whole hazelnuts.
b Describe how you could check the manufacturer’s statement.
M 7 A handful of rice grains is scattered at random onto a chessboard. Jo counts the number of rice grains in each
of the 64 squares on the chessboard.
a Use appropriate calculations to show that it may be possible to model the distribution of rice grains using a
Poisson distribution.
b Using an appropriate value for the parameter, find the expected distribution of numbers of rice grains in
the squares.
E LORE 2.3
People arrive at random and independently at a post office at an average rate of two people every 5 minutes.
Work out the probability of:
a three people arriving in a 10-minute period
b more than four people arriving in a half-hour period
c five people arriving in a 4-minute period
d one person arriving in a 1-minute period.
Answer
a X ~ Po(4) First find the value of λ ; 10 minutes is double 5 minutes so
−4 43 λ is 2 × 2.
P( X = 3) = e = 0.195
3!
b X ~ Po(12) First find the value of λ ; half-hour = 6 × 5 minutes
P( X . 4) = 1 − P( X ø 4) so λ is 6 × 2.
122 123 12 4 Note that . 4 doesn’t include the value 4.
= 1 − e −12 1 + 12 + + +
2! 3! 4!
= 1 − 0.0076 = 0.9924 or 0.992
c X ~ Po(1.6) λ does not need to be either an exact multiple or an
5 4
P( X = 5) = e −1.6
1.6
= 0.0176 integer; here λ = × 2 = 1.6.
5! 5
34
d X ~ Po(0.4) First find the value of λ ; 1 minute is one-fifth of 5 minutes
0.41 1
P( X = 1) = e −0.4 so λ = × 2 = 0.4.
1! 5
The time period can be smaller than the original period
= 0.268
given.
Remember the mean does not need to be a whole number.
The number of breakages at a restaurant in a randomly chosen week can be modelled as a random variable having
a Poisson distribution with mean 0.8.
a Work out the probability of the following.
Answer
a i X ~ Po(0.8) Use the probability formula directly.
1
0.8
P( X = 1) = e−0.8 = 0.359
1!
E RCISE 2B
1 Potholes occur independently and at random at a rate of five in a stretch of road 1 kilometre long. Calculate
the probability that in a randomly chosen stretch of road 2 kilometres long there will be:
a exactly eight potholes b fewer than two potholes.
2 The number of faults in a roll of wallpaper can be modelled as a random variable having a Poisson
distribution with mean 0.6. Find the probability that a decorator using four rolls of wallpaper for a room
finds no faults in the wallpaper.
M 3 The number of flaws in a given length of cloth occur at the rate of 1.6 per metre. State the assumptions you 35
need to make to model this situation as a Poisson distribution. Find the probability that:
a in a 5-metre length of cloth there are no flaws
b in a 21 -metre length of cloth there are two or more flaws.
M 4 The number of cars passing a point on a road can be modelled as a random variable having a Poisson
distribution with mean two cars per 5 minutes.
a What is the probability in a randomly chosen 20-minute period that more than three cars will pass that
point on the road?
b What conclusions might you draw if no cars pass that point in the randomly chosen 20-minute period?
c How might installing traffic lights at one end of the road affect the Poisson model?
5 Over a long period of time, a plumber finds that, on average, he receives two emergency calls per week. Work
out the probability of:
a no emergency calls in a two-week period
b one emergency call on one day (assume the plumber is available for emergency calls five days per week).
6 A typist makes, on average, one error for every 200 keyboard strokes. Assuming the errors occur
independently and at random, find the probability that:
a in a document requiring 400 keyboard strokes there is, at most, one error
b in two documents requiring 400 keyboard strokes there is, at most, one error.
b Assuming the number of orders placed can be modelled as a Poisson distribution, find the probability of:
i zero orders occurring per second ii one order occurring per second.
M 8 Over a period of time, a consumer complaints department notes that it receives an average of 4.2 emails per hour.
a What assumptions do you need to make to model the number of email complaints received by a consumer
complaints department as a Poisson distribution?
b Why might it be unlikely that all complaints are made independently of each other?
c Are complaints more likely to be made at certain times rather than others?
d Assuming the number of emails received can be modelled as a Poisson distribution, find the probability
that the consumer complaints department receives:
i nine emails in 2 hours ii three emails per minute.
36
0 2 4 6 8 0 2 4 6 8 10 12 0 5 10 15
Graphs of Poisson distributions are always skewed, but when the mean is small, a graph
of the Poisson distribution is very skewed. As the mean increases, the graph of a Poisson
distribution becomes more symmetrical.
These graphs show binomial distributions for different values of n and p.
0.4
0.2
37
B (10, 0.1) B (50, 0.06) B (60, 0.08)
0
0 2 4 6 8 10 10 20 10 20
For a binomial distribution E(X ) = np, and for a Poisson distribution E(X ) = λ .
Comparing the graphs of the two distributions with the same mean value, np = λ, we see
that for B(20, 0.05)and Po(1) the Poisson graph is very skewed whereas the binomial graph
is more symmetrical.
As n becomes large and p becomes small, we can see the graph for B(60, 0.08) becoming
more similar to the graph for Po(4.8).
For a binomial distribution when the value of n is large and p is small (implying occurrence of the
event is rare), such that np is moderate (as a guide, n . 50 and np , 5), the Poisson distribution
with mean np can be used as an approximation for the binomial distribution.
EXPLORE 2.4
Many binomial distributions give rise to the same Poisson distribution. For example,
Po(4.8) could be approximated from B(100, 0.048) or B(10, 0.48) or B(20, 0.24). Not all of
these are equally good approximations. Use graphing software, such as GeoGebra,
to explore different graphs of binomial and Poisson distributions where np = λ.
Number of bubbles, r P( X = r ) 0 1 2 3
375 r
Binomial probability r 0.012 0.0108 0.0492 0.112 0.169
375– r
(1 – 0.012)
e –4.5 4.5r
Poisson approximation 0.0111 0.0450 0.112 0.169
r!
We can see that the probabilities, correct to 3 significant figures, are almost the same for
all these values; hence, the Poisson is a good approximation to the binomial to use in this
situation.
38
WORKED EXAMPLE 2.5
A company produces electrical components. Past records show that the proportion of faulty components is 0.4%.
Hari buys a box of 1000 electrical components. Using a suitable approximation, work out the probability that
more than five components are faulty.
Answer
Let the random variable X be ‘the number of The situation is binomial.
faulty components’. Then X ~ B(1000, 0.004) . 0.4
Probability 0.4% = = 0.004
100
B(1000, 0.004) ≈ Po(4)
Poisson approximation is suitable as n is large, p is
P(X . 5) = 1 – P(X ø 5) small and np = 1000 × 0.004 = 4.
40 41 42 43 44 45
= 1 − e −4 + + + + + Factorise out to simplify the working.
0 ! 1 ! 2 ! 3 ! 4 ! 5 !
= 1 − 0.7851
= 0.2150
E RCISE 2C
1 For the random variable X , where X ~ B(60, 0.05), use a suitable approximation to find:
a P( X , 4) b P( X ù 4)
2 For the random variable X , where X ~ B(120, 0.02) , use a suitable approximation to find:
a P( X ø 5) b P( X . 2)
3 For the random variable X , where X ~ B(200, 0.01), use a suitable approximation to find P(6 , X , 10).
PS 4 Past records show that the proportion of faulty resistors manufactured by a company is 0.2%. Robert buys a
box of 450 resistors. Using a suitable approximation, work out the probability that fewer than three resistors
are faulty.
PS 5 A machine is known to produce defective components, at random and independently of each other, on
average 0.24% of the time. In a production of 500 components, state a suitable approximating distribution and
calculate the probability that, at most, three components will be defective.
PS 7 For a certain flower, a seed mutation occurs at random with probability 0.0004. A total of 12 000 seeds
germinate. Let X be the number of seeds that germinate and carry the mutation.
a Justify using the Poisson distribution as an approximating distribution for X .
b Use your approximating distribution to find P( X ø 3).
c Calculate P( X ø 3) given that X > 1.
39
Consider again the example of the manufacturer of plastic pipe at the start of Section 2.3.
In that example there were n small pieces of pipe in which there was only zero or one defect
in each piece, and hence X ~ B n, . To ensure each piece does not contain more than
4
n
one defect, the pieces would need to be very small and we would have a large number of
pieces.
1000 4 0 4
1000
Suppose n = 1000, then P(X = 0) = 1 − = 0.018169…
0 1000 1000
0 10 000
10 000 4 4
For n = 10 000, P(X = 0) = 1− = 0.018300…
0 10 000 10 000
0 100 000
100 000 4 4
For n = 100 000, P(X = 0) = 1− = 0.018315…
0 100 000 100 000
We can see that for increasing values of n the probabilities tend towards 0.018315… = e −4.
This is the value given by the Poisson probability for P( X = 0), where X ~ Po(4) .
Let’s move on to explore the probabilities for one defect using the binomial X ~ B n, .
4
n
1000 4 1 4
999
For n = 1000 , P( X = 1) = 1 − = 0.072969…
1 1000 1000
1
10 000 4 4
9999
For n = 10 000, P( X = 1) = 1 − = 0.072323…
1 10 000 1000
If we continue to calculate probabilities for one defect, increasing the values of n, the result
will tend towards 0.073262…, and this is the value given by the Poisson probability for
P(X = 1) for e −4.
λ
In general, for X ~ B n, and r defects:
n
n−r n−r
n λr λ n( n − 1)( n − 2) … ( n − r + 1) λ r λ
P(X = r ) = 1 − = × r 1 −
r n n r! n n
n−r
λr n n − 1 n − 2 n − r +1 λ
= × × × ×… × × 1 −
r! n n n n n
n−r n
n −1 n −2 λ λ
As n increases, the fractions , , … tend towards 1; and 1 −
≈ 1 −
n n n n
n
λ
since r is negligible compared to n. We found earlier that 1 − tends towards e − λ .
n
λ r −λ
Hence, P(X = r ) = e , which is the probability formula for X ~ Po(λ ), the formula
r!
that was given in Section 2.1.
40
λ = 15 λ = 20
λ = 10
0 5 10 15 20 25 0 10 20 30 0 10 20 30 40
A normal distribution curve with the same mean and variance as the Poisson graph – that REWIND
is, N(λ , λ ) – has been drawn on each graph.
In Probability &
Notice that as the value of λ increases the Poisson graph improves as a fit to the normal Statistics 1 Coursebook,
curve. The shape of the Poisson distribution graph is always skewed; however, for larger Chapter 8, we saw that
values of λ , the Poisson distribution graph resembles the shape of a normal distribution. the normal distribution
is a continuous
The Poisson distribution is a limiting distribution of binomial distributions. A binomial
probability distribution
distribution can be approximated by a normal distribution, so it seems reasonable
described by two
to suppose that the Poisson distribution itself can be approximated by the normal parameters: mean and
distribution, with a continuity correction applied. variance.
For a Poisson distribution the mean and variance are the same, and hence Po( λ ) ≈ N( λ , λ ).
REWIND
A Poisson distribution is a discrete probability distribution and so to use the normal
distribution as an approximation to the Poisson distribution a continuity correction has In Probability
& Statistics 1
to be applied, just as one has to be applied when using the normal distribution as an
Coursebook,
approximation to a binomial distribution.
Chapter 8, we saw
that a continuity
correction had to be
KEY POINT 2.6
applied when using the
For λ . 15, the Poisson distribution with mean λ can be reasonably approximated by the normal normal distribution as
distribution with mean λ and variance λ , with a continuity correction applied. The accuracy of this an approximation to a
approximation improves as λ increases. binomial distribution.
We can explore how this works, and how good an approximation it might be, by working
out some probabilities. Assume that Manuela posts pictures on her social media page at
random points in time. She posts, on average, 24 pictures each week.
Let the random variable X be ‘the number of pictures posted each week’.
Then X ~ Po(24) .
e−24 24 n
P( X = n ) =
n!
The table shows some probabilities for the number of pictures posted using the Poisson
formula and using a normal approximation.
41
Poisson Normal approximation Comments
X ~ Po(24) Y ~ N(24, 24) Apply the continuity correction when using the
normal approximation.
From these calculations we can see that the probabilities using the normal distribution
as an approximation to the Poisson distribution give the same set of values, correct to
2 decimal places, as the calculations using the Poisson probability formula in almost all the
probabilities.
Over the years, a biologist notes that a species of turtle lays on average 60 eggs in each nest. The number of eggs
laid in each nest follows a Poisson distribution, and is independent of the number of eggs laid in other nests.
Calculate the probability that in a randomly chosen nest there are:
a exactly 50 eggs b over 74 eggs c 40 eggs or fewer.
Answer
Let X be the random variable ‘number of eggs in a nest’. Always state the distribution you are using
42
Then X ~ Po(60) ≈ N(60, 60). and any approximating distribution.
50.5 − 60 49.5 − 60 You could just use Poisson here; the question
a P( X = 50) ≈ P øZø
60 60 is included to highlight the process for a
= Φ( −1.226) − Φ( −1.356) single value.
= (1 – 0.8899) – (1 – 0.9125) = 0.0226
40.5 − 60
c P( X ø 40) ≈ P Z ø
60
= Φ( −2.517) = 1 – 0.9941 = 0.0059
E RCISE 2D
3 For a particular pond, in 1 ml of pond water, on average there are 117 microorganisms. Find the probability
there are more than 1200 microorganisms in a 10 ml sample of the pond water.
M 4 On a particular train line, delayed trains occur at an average rate of eight per day.
a What is the probability that fewer than 100 trains are delayed on this line in a 14-day period?
b Decide if your Poisson model for the 14-day period is reasonable to use in this situation. Explain your decision.
PS 5 Fabio receives, on average, 48 emails at work each day. Emails are received at random and independently.
Fabio can answer, at most, 60 emails each day. Find the probability that on a randomly chosen day, Fabio can
answer all emails received.
6 Given that X ~ Po(42) and P ( X . x ) ø 0.1, find the minimum integer value of x.
PS 7 The number of tea lights that are lit at a place of memorial during one day follows a Poisson distribution with mean
38. How many tea lights should be available to be at least 98% certain that there are sufficient tea lights for the
demand?
PS 8 The number of errors made by customers when using online banking transactions each week follows a
Poisson distribution with mean 25.
a Find the probability that there are more than 32 customer errors in a randomly chosen week.
b Katya calculates that it is almost certain that the number of customer errors on a randomly chosen day
is greater than 11 and less than 39. Use calculations to show how Katya arrived at her conclusion.
43
2.5 Hypothesis testing with the Poisson distribution REWIND
For a single observation from a population that has a Poisson distribution, we can directly
compare Poisson probabilities or use a normal approximation to the Poisson distribution. Chapter 1 showed
how to carry out a
hypothesis test with the
WORKED EXAMPLE 2.7 binomial distribution.
To carry out hypothesis
Records show that 1% of the population has a positive reaction to a test for a testing with the
particular allergy. In a village, 120 people are tested and four people have a positive Poisson distribution,
the process is the
reaction. Test at the 5% level of significance if there is any evidence of an increase in
same. Go back and
the population with a positive reaction for this particular allergy.
review Chapter 1 to
Answer remind yourself of the
procedure involved.
X ~ B(120, 0.01) ≈ Po(1.2) State the distribution; n
H 0 : λ = 1.2; H1: λ . 1.2 is large and np , 5 so
approximate to Poisson.
5% significance level one-tailed test
State the null and alternative
P( X ù 4) = 1 − P( X ø 3)
hypotheses.
1.2 0 1.21 1.22 1.23
= 1 – e −1.2 + + + State the significance level of
0! 1! 2! 3 !
the test and whether one- or
= 1 − 0.9662 = 3.38% two-tailed.
As 3.38% , 5%, reject the null hypothesis. Calculate the probability.
There is evidence at the 5% level of significance to
suggest that in this village there has been an increase Compare the probability
in the population who react positively to a test for with the significance level.
this particular allergy. Interpret the result.
REWIND
Using the binomial distribution, we can see the same conclusions would be reached:
X ~ B(120, 0.01)
H 0 : µ = 0.01; H1 : µ . 0.01
5% level one-tailed test
P( X ù 4) = 1 − P( X ø 3)
120 120 120 120
= 1 − 0.010 0.99120 + 0.011 0.99119 + 0.012 0.99118 + 0.013 0.99117
0 1 2 3
= 1 − 0.9670 = 3.3%
As 3.3% , 5%, reject the null hypothesis, as before.
Accidents on a stretch of road occur at the rate of seven each month. New traffic measures are put in place to
reduce the number of accidents. In the following month, there are only two accidents.
a Test at the 5% level of significance if there is evidence that the new traffic measures have significantly
reduced the number of accidents.
b Over a period of 6 months, there are 32 accidents. It is claimed the new traffic measures are no longer
reducing the number of accidents.
44
i Test this claim at the 5% level of significance.
ii What would your conclusion be if you tested the claim at the 10% level of significance?
Answer
a X ~ Po(7) State the distribution.
H 0: λ = 7; H1: λ , 7 State the null and alternative hypotheses.
5% level one-tailed test State the significance level of the test and whether
7 0 71 7 2 one- or two-tailed.
P( X ø 2) = e −7 0 ! + 1 ! + 2 !
Calculate the probability.
= 0.0296 = 2.96%
As 2.96% , 5%, reject the null hypothesis. Compare the probability with the significance
There is evidence to suggest the new traffic level.
measures reduce the number of accidents. Interpret the result.
EXPLORE 2.5
For Worked example 2.8, at a 5% level of significance results from the first month
suggest there is evidence that the new traffic measures reduce the number of
accidents, yet results from 6 months suggest there is insufficient evidence. Which
is true? What other factors might affect the result? At a 5% significance level,
statistically 1 month in every 20 months there will be fewer accidents. What does
it imply if the number of accidents in the first month is a statistical fluke? If drivers
become more careless over time as they get used to a new road layout, what does this
imply about your answer to part b ii? Over what period of time should you collect
data to test the effect of the new traffic measures? What else can you do to show if the
new traffic measures have reduced the number of accidents?
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E RCISE 2E
PS 2 A small shop sells, on average, seven laptops per week. Following a price rise, the
number of laptops sold drops to four per week. Test at the 5% significance level
whether the sales of laptops have significantly reduced.
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