Digits of numbers in legitimate records

Reference no: EM1392723

It is a striking fact that the first digits of numbers in legitimate records often follow a distribution known as Benford's Law, shown below.

First digit 1 2 3 4 5 6 7 8 9
Proportion 0.285 0.175 0.113 0.088 0.058 0.06 0.031 0.039 0.151

Fake records usually have fewer first digits 1, 2, and 3. What is the approximate probability, if Benford's Law holds, that among 1234 randomly chosen invoices there are no more than 673 in amounts with first digit 1, 2, or 3? (Round your answer to four decimal places.)

Reference no: EM1392723

Questions Cloud

Monte carlo sampling and its assumptions : Monte Carlo sampling makes the assumption that all parameters of an alternative are: A. Independent B. Dependent C. Equal to 1.0 D. Probability distribution

R charts and quality : The following are quality control data for a manufacturing process at Kensport Chemical Company. The data show the temperature in degrees centigrade at five point in time during a manufacturing cycle.

Concepts behind variance analysis : Critically discuss some concepts behind variance analysis? Why is it important to test for variances in your data? Explain. How is variance analysis used in health care administration?

What would you conclude and what disciplinary action : If you were the district's EEOC officer, what would you conclude? What disciplinary action, if any, would you taken?

Digits of numbers in legitimate records : It is a striking fact that the first digits of numbers in legitimate records often follow a distribution known as Benford's Law, shown below.

Statistics in sports performance : When coaching or training athletes, the tests employed to predict performance or determine training methods incorporate statistical methods. Why are these methods so effective?

Explain different lives and legacies of pharaohs hatshepsut : As the student of ancient Egyptian history, which of them do you think gives you the most insight into and understanding of this ancient and long-lived civilization and explain why?

Computation of basic statistics : You've been recently hired as a marketing analyst in an advertising agency. You are assigned the task of assessing the impact of direct marketing promotions.

Experimental study designed to test potency of drug on calve : An experimental study is designed to test the potency of a drug on 16 calves. Previous studies have shown that a 10-mg dose of the drug is lethal 7% of the time within the first 7 hours.

User Account

All Pages