Question

In: Math

The company Dilmart has 8,000 pieces in inventory. The average dollar value of these pieces is...

The company Dilmart has 8,000 pieces in inventory. The average dollar value of these pieces is $ 10.79 with a standard deviation equal to $ 3.34. Suppose the inventory manager selected a random sample of n = 64 pieces of inventory and found a sample mean equal to $ 11.27. The probability of obtaining a sample mean of at least $ 11.27 is approximately 0.444. Select one: True False

Solutions

Expert Solution

Solution:

Given:

Mean =

Standard Deviation =

Sample Size =n = 64

Sample mean =

We are given that: the probability of obtaining a sample mean of at least $ 11.27 is approximately 0.444 and we have to state whether it is True or False.

Thus find :P( Sample mean is at least $11.27) =.........?

That is find:

Thus find z score:

Thus we get:

Thus look in z table for z = 1.1 and 0.05 and find area.

P( Z < 1.15) =0.8749

Thus

Since this probability is different from 0.444 , thus given statement is False.


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