Question

Question 2 (4 points) Saving... Data on investments in the high-tech industry are compiled by VentureOne Corp. and published by American's Network Telecom Investor Supplement. A random sample of 18 venture capital investments in fiber optics yielded the following data, in millions of dollars. 5.6 6.26 5.96 10.51 2.04 5.48 5.74 5.58 4.13 8.63 5.95 6.67 4.21 7.71 9.21 4.98 8.64 6.66 Determine a 99% confidence interval for the mean amount of all venture capital investments in fibre optics. Assume that the population standard deviation is $2.04 million. (I will be marking this by hand) We are A confident that the unknown population mean of is between A and A million dollars.

Answer 1

Solution: Given that, using calculatot X = 6.33 S 2.04. 18 С. 99% At 99% confidence interval t is с 99% = 0.gg Q = I-C -o.gg = 0.01 올 0.01 2 0.005 2 d. f. = -1 18-1=17 t t I, dof. 0.005, 17. 2.898 (Using t table) 2 t Maegin of extor E dif. ls v ( 2 2.898 2.04 118 = 1.394 99% confidence intek vol mean is. X I E EX-E< l< žtE 6.33 -1.394 < el < 6.33+ 1.394 = 4.936 < < 7.724 (4.936, 7.724)