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Families USA, a monthly magazine that discusses issues related to health and health costs, surveyed 20 of its subscribers. It found that the annual health insurance premiums for a family with coverage through an employer averaged $10,979. The standard deviation of the sample was $1,000.
a. Based on this sample information, develop a 90 percent confidence interval for the population mean yearly premium.
b. How large a sample is needed to find the population mean within $250 at 99 percent confidence?
Show that it satisfies the required condition for being a probability distribution.
One-fourth of the residents of the Burning Ridge Estates leave their garage doors open when they are away from home. The local chief of police estimates that 5 percent of the garages with open doors will have something stolen
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If the limits of the confidence interval of the difference between the means of two normally distributed populations were 3.5 and 5.5 at the 95% confidence level, then we can conclude that we are 95% certain that there is a significant difference ..
Explain how the marketing analyst can use independent samples to collect the data.
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