The following two relative frequency distributions were constructed from data in a report on undergraduate students and credit cards. One distribution
of 1,412 college students. The other distribution summarizes data from a survey completed by 133 of the 1,270 college students who received it.
Credit Card
Balance (dollars)-
Credit Bureau Datal
Balance (dollars)-
Relative
Frequency
Credit Card
Relative
Frequency
Survey Data
0 to <100
0.16
0 to <100
0.15
100 to <500
0.24
100 to <500
0.27
500 to <1,000
0.13
500 to <1,000
0.12
1,000 to <2,000
0.15
1,000 to <2,000
0.27
2,000 to <3,000
0.10
2,000 to <3,000
0.08
3,000 to <7,000
0.15
3,000 to 7,000
0.11
7,000 or more
0.07
7,000 or more
0.00
0.0020
(a) Construct a histogram for the credit bureau data. Assume that no one had a balance greater than 15,000 and that the last interval is 7,000 to <15,000. Be sure to use the density scale. (Hint: See
Example 2.18.)
0.0020
a histogram for
tbureau data. Assume
15,000 and that
Interval is 7,000 to 15,000. Be sure to
density scale. (Hint: See
Example 2.18.)
0.0020
0.0020
elative Freq
Density
0.0015
0.0010
0.0005
Credit Card Balance (5)
0.0015
0.0010
0.0005
Credit Card Balance ($)
Chapter #2 (Summer)
#2 (Summer)-STAT 0200, section 1210-CRNI 16844, Summer 12024) WebA
Pitt Passport
0.0005
0.0000
Credit Card Balance ($)
00
0.05
0.00
Credit Card Balance ($)
@
(c) Comment on the similarities and differences in the histograms from parts (a) and (b).
The shape of the histograms is Select A notable difference is that Credit Bureau data shows that
6 of survey respondents indicated a balance of at least $7,000.
% of students have credit card balances of at least $7,000, while
(d) Do you think the high nonresponse
for the survey may have contributed to the observed differences in the two histograms? Explain.
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