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A random sample of 27 items is drawn from a population whose standard deviation is unknown. The sample mean is = 940 and the sample standard deviation is s = 15. Use Appendix D to find the values of Student's t.
(a) Construct an interval estimate of μ with 99% confidence.
(b) Construct an interval estimate of μ with 99% confidence, assuming that s = 30.
(c) Construct an interval estimate of μ with 99% confidence, assuming that s = 60.
(d) Describe how the confidence interval changes as s increases.
The interval stays the same as s increases.
The interval gets wider as s increases.
The interval gets narrower as s increases.
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Estimate the true proportion of incomplete files for ALL the bank's commercial loans. Write a statement about the confidence level and the interval you find.
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