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1) Using a random sample of 100 workers, researchers calculate a 95% confidence interval for the average hourly wage earned by construction workers in the

1) Using a random sample of 100 workers, researchers calculate a 95% confidence interval for the average hourly wage earned by construction workers in the city of Boston. This interval they calculate is from $18 to $26.

Does this mean we can say that roughly 95% of construction workers in the city earn hourly wages between $18 and $26?

A) We cannot answer with Yes or No here

B) Yes, 95% of the wages fall between $18 to $26

C) No, we are 95% confident that the average wage falls between $18 to $26

2) A hotel has 180 rooms. Past experience shows that only 84% of people who reserve rooms actually show up. If the hotel takes 200 reservations, what is the chance there will be enough rooms for the people who actually show up?

(Hint: You want to find the chance that, in the sample of 200 reservations, the percentage of those who show up will be 90% (180/200) or less, knowing that true population percentage is 84%.)

A) Approximately 95% chance

B) Approximately 99% chance

C) Approximately 99.5% chance

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