Calculate expected value for click-through rates
Last updated: August 12, 2025
Quick Overview
Given the following scenario about revenue per session, calculate the the p-value.
Zillow
August 12, 20250
6
2,754 solved
Given the following scenario about revenue per session, calculate the the p-value.
Statistics questions at Zillow test your ability to reason quantitatively and design rigorous experiments. This Technical Screen question evaluates your understanding of statistical inference and its application to business decisions.
What the Interviewer Expects
- Set up the problem formally with proper notation
- Apply the correct statistical test with clear justification
- Interpret results with appropriate caveats and confidence levels
- Discuss practical significance vs statistical significance
- Identify potential confounders and how to address them
Key Topics to Cover
How to Approach This
- Define your hypotheses (H0 and H1) clearly before performing any test.
- Calculate required sample size BEFORE running an experiment, using power analysis.
- Remember the Central Limit Theorem: sample means become approximately normal with large n.
- Watch for Simpson's paradox. Always segment data by key dimensions.
- Distinguish between statistical significance and practical significance.
Possible Follow-up Questions
- How would you handle multiple comparisons?
- What alternative statistical method could you use here?
- What assumptions does this test make, and how would you validate them?
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Browse Statistics QuestionsSample Answer
Problem Formulation
To analyze the click-through rates (CTR) for Zillow's sessions, we need to set up a framework for calculating the expected value of revenue per session based on observed data. Let:
- : Revenu...
Solution Approach
To calculate the p-value, we can use a hypothesis test (e.g., Chi-Squared test for categorical data) based on the observed and expected click-through rates. The steps are as follows:
- **Collect Da...
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