In: Statistics and Probability
The accompanying data represent the total travel tax (in dollars) for a 3-day business trip in 88 randomly selected cities. A normal probability plot suggests the data could come from a population that is normally distributed. A boxplot indicates there are no outliers. Complete parts (a) through (c) below. 67.95 79.24 69.64 84.47 79.49 87.04 100.95 97.04
(a) Determine a point estimate for the population mean travel tax.
(b) Construct and interpret a 95% confidence interval for the mean
tax paid for a three-day business trip.
Select the correct choice below and fill in the answer boxes to complete your choice. (Round to two decimal places as needed.)
A. There is a nothing% probability that the mean travel tax for all cities is between $nothing and $nothing.
B. The travel tax is between $nothing and $nothing for nothing% of all cities.
C. One can be nothing% confident that the all cities have a travel tax between $nothing and $nothing.
D. One can be nothing% confident that the mean travel tax for all cities is between $nothing and $nothing.
(c) What would you recommend to a researcher who wants to increase the precision of the interval, but does not have access to additional data?
A. The researcher could decrease the level of confidence.
B. The researcher could increase the level of confidence.
C. The researcher could increase the sample mean.
D. The researcher could decrease the sample standard deviation.
Answer: The accompanying data represent the total travel tax (in dollars) for a 3-day business trip in 88 randomly selected cities. A normal probability plot suggests the data could come from a population that is normally distributed.
Solution:
Interpretation:
One can be 95% confident that mean travel tax for all cities is between $ 73.3922 and $ 93.0628.
The option D. is correct answer.
c) Recommendation:
The researcher could increase level of confidence.
The option B. is correct answer.