+
A DELIVERY TRUCK MANAGER TAKES A SAMPLE OF 25 DELIVERY TRUCKS

A DELIVERY TRUCK MANAGER TAKES A SAMPLE OF 25 DELIVERY TRUCKS

Rating:
Rating
(0)
Author: Christine Farr
Description:

http://theperfecthomework.com/a-delivery-truck-manager-takes-a-sample-of-25-delivery-trucks-and-calculates-the-sample-mean-and-sample-standard-deviation-for-the-cost-of-operation/

A delivery truck manager takes a sample of 25 delivery trucks and calculates the sample mean and sample standard deviation for the cost of operation. He asks an employee to construct a 95% confidence interval for the population mean. The employee finds the confidence interval to be €253 to €320. The manager reasons that this interval contains the mean operating cost for the entire fleet of delivery trucks since the sample mean is contained in the interval.
Do you agree with his reasoning?
How would you interpret this confidence interval?
Concerning your answers above, what assumptions did you make (if any)? Does the Central Limit Theorem apply? Why or why not?
How does the concept of confidence interval apply or could apply to your profession?


(more)
See More
Try a College Course Free

Sophia’s self-paced online courses are a great way to save time and money as you earn credits eligible for transfer to over 2,000 colleges and universities.*

Begin Free Trial
No credit card required

25 Sophia partners guarantee credit transfer.

221 Institutions have accepted or given pre-approval for credit transfer.

* The American Council on Education's College Credit Recommendation Service (ACE Credit®) has evaluated and recommended college credit for 20 of Sophia’s online courses. More than 2,000 colleges and universities consider ACE CREDIT recommendations in determining the applicability to their course and degree programs.

Tutorial