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Data for 966 lottery outlets are graphed below; the scatterplot shows the ratio

ID: 3318917 • Letter: D

Question

Data for 966 lottery outlets are graphed below; the scatterplot shows the ratio TotalPaid Tota Sales vs TotalSales for instant winner games A reporter thinks that by identiying the outets with the highest fraction of bets paid out, players might be able to increase their chances of winning. However, the fact that tickets may be scratched off and then cashed in at any outlet may acoount for some outets paying out more than they take in. Complete parts a and b below Click the icon to view the graph of TotalPaid/TotalSales vs. TotalSales a) Explain why the plot has this funnel shap Choose the correct answer below. A. The funnel shape is du* to large amounts of winning 5ckets being cashed in at outets ohei than wher·they were purchased O B. The funnel shape is due to inoreased variability in the smaler outdets, as predicted by the Central Limit Theorem ° C. The funnel shape is due to decreased variability in te smaller outlets, as predicted by the Central Limit Theorem. O D. The funnel shape is due to large amounts of winning ickets being cashed in at the same outlets where they were purchased b) Explain why the reporter's idea would not have worked anyway. Choose the correct answer below O A. The fact that Sickets may be soratohed off and then cashed in at any outlet makes it impossible to know what outlets have the winning tickets B. the lottery is random, al outiets are equaly likely to se. winning tokets. C. O D. The fact that some winning 5ckets are lost and not cashed in makes impossible to know what outlets have the winnng 5okets. Some oulets may have very low payouts due to being on highways where players purchase cards and leave the number of ickets from these outets TotalPaid/TotalSales vs. TotalSales for instant winner games- 1.00 Click to select your answer 025 0.00 Save for Later

Explanation / Answer

Solution:

a)

In a scatter plot, when the data points with high precision are plotted near the average and data points with low precision will be spread on both sides, this results in a funnel shaped distribution.

Hence,

D) the funnel shape is due to large amounts of winning tickets being cashed in at the same outlets where they were purchased.

b)

A) The fact that tickets may be scratched off and then cashed in at any outlets makes it impossible to know what outlets have the winning tickets.