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Age of Terminated Employees

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Tri-States Mining has been forced to terminate 10% of its work force because of low market prices for the ore it produces. A group of recently terminated employees (age 55 and older) has filed a lawsuit claiming that age discrimination was practiced by the company during the termination process. Analysts have determined that 12 of the 64 employees age 55 or older in the total work force were terminated.
a. Determine the probability that the sample proportion of age 55 or older employees who were terminated would be greater if employees were selected at random for termination.
b. Determine the probability that the sample proportion of age 55 or older employees who were terminated would be between .0625 and .125 if employees were selected at random for termination.

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Solution Summary

This solution contains step-by-step calculations to determine the probability of the sample proportion of age 55 or older employees who were terminated to be varying scenarios. All workings and formulas are shown.

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