Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

(3 points) A couple is interested in estimating the average cost of their weekly groceries. They take a sample of 32 weeks of grocery receipts

image text in transcribed
(3 points) A couple is interested in estimating the average cost of their weekly groceries. They take a sample of 32 weeks of grocery receipts and find that the average amount spent is E = $178.42 with a sample standard deviation of s = $10.31. Assume the amount spent per week is normally distributed. Use this information to answer the questions below. a. Compute an 88% confidence interval for [4, the average cost of the couples' weekly groceries. Enter your smaller bound as the 'lower bound' and your larger bound as the 'upper bound.' Round your answers to at least five decimals if necessary Lower bound: $' Upper bound: $ b. Interpret the interval that you calculated in part a. i . We are l % confident that the average cost of 7 V is . 7 V the upper and lower bounds of the interval. 4:. Suppose we were to decrease the condence level from 88% to 86% and compute a new confidence interval. If all other values/quantities stayed the same, how would the width of this new interval compare to the width of the interval computed in part a.? O A. The new interval would be wider O B. The new interval would be the same width 0 c. The new interval would be narrower O D. There is not enough information provided to determine how this would affect the interval width

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

A First Course In Differential Equations

Authors: J David Logan

3rd Edition

3319178520, 9783319178523

More Books

Students also viewed these Mathematics questions