9 tourists participate in a statistical study with a vacation company. Focus gro

Question

9 tourists participate in a statistical study with a vacation company. Focus groups of 5 people are formed for the study. The tourists are randomly selected to a focus group. Two of the tourists are spouse. The focus group the spouse are in together cost the vacation company $150. All the other focus groups cost $100. What is the average cost per focus group? If the vacation company has a budget of $300, on average, how many focus groups can the company afford? a. None of the above b. $125 per focus group, 2 samples c. $114 per focus group, 2 samples d. $136 per focus group, 2 samples

Explanation / Answer

The spouses can either be in one group or can be in different groups. If they are in different group, then the cost per group is 100. If they are in one group then one group costs 150 and the other 100 and cost per group is 125. As both are selected at random, the expected cost per group is (100+125)/2=225/2=112. We are dividing it in two samples as the total budget is 300. And thus only two groups are afforded. Thus answer is 114 and 2 samples.

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