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Let X1 , X2 ,... , Xn , be a random sample from a normal population, with unknown mean, and variance σ2 = 5. The population mean is to be estimated with the sample mean such that the 95% con?dence interval will be ξL ≤ μ - X¯ ξR, an interval of total width w = ξR - ξL.
(i) Determine the sample size n required for w = 0.5.
(ii) If the population variance doubles to σ2 = 10, what value of n will be required to maintain the same width for the 95% con?dence interval?
(iii) If the population variance doubles but the sample size obtained in (i) is retained, what is the width of the 95% con?dence interval?
Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..
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