Franchise: Candy Store Do you want to own your own candy store? With some interest in running your own business and a decent credit rating, you can probably get a bank loan on startup costs for franchises such as Candy Express, The Fudge Company, Karmel Corn, and Rocky Mountain Chocolate Factory. Startup costs (in thousands of dollars) for a random sample of candy stores are given below (Source: Entrepreneur Magazine, Vol. 23, No. 10).

95 173 129 95 75 94 116 100 85

(a) Use a calculator with mean and sample standard devia-

tion keys to verify that x < 106.9 thousand dollars and s < 29.4 thousand dollars.

(b) Find a 90% confidence interval for the population average startup costs m for candy store franchises.

(c) Interpretation What does the confidence interval mean in the context of this problem?

AppendixLO1