Question

In a random sample of 81 audited estate tax returns, it was determined that the mean amount of additional tax owed was $3407 with a standard deviation of S2539. Construct andinterpret a 90% confidence interval for the mean additional amount of tax owed for estate tax returns.Click here to view the standard normal distribution table (page 1)Click here to view the standard normal distribution table (page 2).Click here to view the table of critical t-valuesFind and interpret a 90% confidence interval for the mean additional amount of tax owed for estate tax returns. Select the correct choice below and fill in the answer boxes to completeyour choice(Use ascending order. Round to the nearest dollar as needed.)O A. There is a 90% probability that the mean additional tax owed is between SandsOB. 90% of taxes owed for estate tax returns are between SandsOC. One can be 90% confident that the mean additional tax owed is betweenaandsin58+

Answer 1

`\begin{gathered} CI=\mu\pm T((\sigma)/(√(n))) \\ CI=3407\pm1.292((2539)/(√(81))) \\ CI=3407\pm1.292((2539)/(9)) \\ CI=3407\pm1.292(282.111111) \\ CI=3407\pm364.448 \\ CI=(3042.552,3771.448) \end{gathered}`

So the confidence value with a t value of 1.292 is between (3044,3771)

Option C) Between $3044 and $3771