bmaggie

In a skewed distribution, what is the minimum amount of observations that will fall between +/- 1.5 standard deviations from the mean?

A) 44%.

B) 95%.

C) 56%.

bmaggie

Assume a sample of beer prices is negatively skewed. Approximately what percentage of the distribution lies within plus or minus 2.40 standard deviations of the mean?

A) 82.6%.

B) 95.5%.

C) 58.3%.

---

Use Chebyshev’s Inequality to calculate this answer. Chebyshev’s Inequality states that for any set of observations, the proportion of observations that lie within k standard deviations of the mean is at least 1 – 1/k². We can use Chebyshev’s Inequality to measure the minimum amount of dispersion whether the distribution is normal or skewed. Here, 1 – (1 / 2.4²) = 1 ? 0.17361 = 0.82639, or 82.6%.