Consider the large bank that wants to estimate the average amount of money owed by its delinquent

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Consider the large bank that wants to estimate the average amount of money owed by its delinquent debtors, μ. The bank randomly samples n = 100 of its delinquent accounts and finds that the sample mean amount owed is x̄ = $230. Also, suppose it is known that the standard deviation of the amount owed for all delinquent accounts is σ = $90. Use the interval estimator x̄ ± 1.96σ to calculate a confidence interval for the target parameter, μ.

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Statistics For Business And Economics

ISBN: 9781292227085

13th Global Edition

Authors: Terry Sincich James Mcclave, P. George Benson

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