In: Statistics and Probability
Waiters at a restaurant chain earn an average of $249 per shift (regular pay + tips) with a standard deviation of $39. For random samples of 36 shifts at the restaurant, within what range of dollar values will their sample mean earnings fall, with 95% probability?
Standard Normal Distribution Table
Range:
to
Round to the nearest cent
solution:
Given that,
mean = = 249
standard deviation = = 39
n = 36
= 249
= / n = 39/36=6.5
middle % of score is
P(-z < Z < z) = 0.95
P(Z < z) - P(Z < -z) = 0.95
2 P(Z < z) - 1 = 0.95
2 P(Z < z) = 1 + 0. 95= 1.95
P(Z < z) = 1.95/ 2 = 0.975
P(Z <1.96 ) = 0.975
z ±1.96
Using z-score formula
= z * +
= ±1.96*6.5+249
=236.26 to 261.74