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Holt Mcdougal Larson Pre-algebra: Student Edition 2012

1st Edition

ISBN:9780547587776

Author:HOLT MCDOUGAL

Publisher:HOLT MCDOUGAL

Chapter11: Data Analysis And Probability

Section: Chapter Questions

Problem 8CR

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***I need help with part c. & d only. Parts a. & b. have already been answered***

A regional bank issues different types of credit cards. As part of its annual review of the profitability of each type of credit card, the bank randomly samples 36 customers to measure the average quarterly charges per card. A random sample of 36 accounts from one type of credit card shows the accompanying spending per account (rounded to the nearest dollar).

Complete parts a through e below.

Data on Credit Card Spending:

Credit Card Spending
$2,373 $4,197 $3,711 $2,324 $2,782 $2,635
$2,628 $2,968 $2,954 $2,550 $2,401 $1,363
$1,797 $1,993 $2,539 $3,233 $2,855 $1,630

$2,169 $3,249 $3,428 $1,932 $3,067 $2,340
$2,991 $2,245 $3,496 $2,697 $2,983 $3,138
$1,600 $2,852 $2,739 $2,132 $2,885 $3,243

a. Based on these randomly sampled accounts, what is the best point estimate of the true mean quarterly spending for credit card account holders? $2669.97

b. If the bank is interested in developing a 90% confidence interval estimate of mean quarterly spending, what distribution will be used to obtain the critical value?

t-distribution Your answer is correct.

c. Determine the standard error of the sampling distribution. (Hint: Because the population standard deviation is unknown, the standard error of the sampling distribution is estimated using technology or formula, where s is the sample standard deviation and n is the sample size.)

$ _________ (Round to the nearest cent as needed.)

d. Construct the 90% confidence interval estimate for the population mean of quarterly credit card spending for the bank's customers. (Hint: The first step is to define the population of interest and select a simple random sample.)

The 90% confidence interval estimate is $ _____----- $_______ (Round to the nearest cent as needed. use ascending order.)

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