Question

A random sample of 500 reports an average yearly income of $42,000 with a standard deviation of $1000. An estimate of the parameter at the 95% level is about $175 wide. In this research situationa.the alpha level is 1000. b.we can be 95% confident that the population mean is 42,000 ± 175. c.the sample mean is $175. d.the sample size is much too small to justify the use of estimation procedures.e. we can be 95% confident that the population mean is 42,000 plus or minus 87.50

Answer 1

E

Explanation:

Confidence Interval = mean + or - error margin

Mean = 42,000, error margin = width of estimate of the parameter ÷ 2 = 175 ÷ 2 = 87.50

We can be 95% confident that the population mean is 42,000 plus or minus 87.50