In: Statistics and Probability
The highway fuel economy of a 2016 Lexus RX 350 FWD 6-cylinder
3.5-L automatic 5-speed using premium fuel is a normally
distributed random variable with a mean of μ = 25.25 mpg
and a standard deviation of σ = 2.00 mpg.
(a) What is the standard error of X⎯⎯⎯X¯ , the mean from a random
sample of 9 fill-ups by one driver? (Round your answer to 4 decimal
places.)
Standard error of X⎯⎯⎯X¯
(b) Within what interval would you expect the sample mean to fall,
with 95 percent probability? (Round your answers to 4 decimal
places.)
The interval is from ? to ?
Solution :
Given that,
Point estimate = sample mean =
= 25.25
Population standard deviation =
= 2.0
Sample size = n = 9
Standard error = ( /n) = ( 2 /9 ) = 0.6667
At 95% confidence level
= 1-0.95% =1-0.95 =0.05
/2
=0.05/ 2= 0.025
Z/2
= Z0.025 = 1.96
Z/2 = 1.96
Margin of error = E = Z/2* (
/n)
= 1.96 * (2 /
9 )
= 1.3066
At 95% confidence interval estimate of the population mean is,
- E <
<
+ E
25.25 - 1.3066 <
< 25.25 + 1.3066
23.9434 <
< 26.5566
The interval is 23.9434 to 26.5566