Question
A district sales manager for a franchise fast-food company wants to determine the average sales of a burger that they recently introduced. In a random
A district sales manager for a franchise fast-food company wants to determine the average sales of a burger that they recently introduced. In a random sample of 30 locations, the average daily sales was found to be $5420 with a standard deviation of $510.
a. Calculate the margin of error for a 90% confidence interval for the average sales of the burger that they recently introduced.
b. Construct the 90% confidence interval for the average sales of the burger that they recently introduced.
c. Interpret the interval in part b.
d. How large of a sample size is necessary to reduce the 90% margin of error to $120?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started