Question

Do you want to own your own candy store? Wow! 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. Assume that the population of x values has an approximately normal distribution.

93

172

134

100

75

94

116

100

85

(a) Use a calculator with mean and sample standard deviation keys to find the sample mean startup cost x and sample standard deviation s. (Round your answers to one decimal place.)

x =

s =

(b) Find a 90% confidence interval for the population average startup costs μ for candy store franchises. (Round your answers to one decimal place.)

upper limit

lower limit

Answer 1

@ for the the given data Sample mean = @= 107.666 Sample standard deviation = 5= 29.585 Sample size=n=9 Degrees of freedomedfany=8 for qoy. CI,Q=0:1 from t-distribution table, tą - to.05 at df =8 is toon =1186 margin of errorice) = to:05 = 1.86 x 24.585 = 18-3427 lower limit= 107-666-18-3427-189.8233 epper limit - 107.666 + 18-3427 = [126.0087