You want to purchase one of the new Altimas. You randomly select 400 dealerships across the United States and find a mean of $25,000 and sample standard deviation of $2500. Construct and interpret a 94% confidence interval for the true mean price for the new Nissan Altima.
Table of contents
- 1. Introduction to Statistics53m
- 2. Describing Data with Tables and Graphs2h 1m
- 3. Describing Data Numerically1h 48m
- 4. Probability2h 26m
- 5. Binomial Distribution & Discrete Random Variables2h 55m
- 6. Normal Distribution & Continuous Random Variables1h 48m
- 7. Sampling Distributions & Confidence Intervals: Mean2h 8m
- 8. Sampling Distributions & Confidence Intervals: Proportion1h 20m
- 9. Hypothesis Testing for One Sample2h 23m
- 10. Hypothesis Testing for Two Samples3h 25m
- 11. Correlation1h 6m
- 12. Regression1h 4m
- 13. Chi-Square Tests & Goodness of Fit1h 30m
- 14. ANOVA1h 4m
7. Sampling Distributions & Confidence Intervals: Mean
Confidence Intervals for Population Mean
Struggling with Statistics for Business?
Join thousands of students who trust us to help them ace their exams!Watch the first videoMultiple Choice
Find each probability.
(A)
A
0.086
B
0.089
C
0.084
D
0.173

1
Step 1: Understand the problem. We are tasked with finding the probability P(T > 1.5) for a t-distribution with degrees of freedom (df) = 8. This involves using the t-distribution table or a statistical software/calculator.
Step 2: Recall the properties of the t-distribution. The t-distribution is symmetric and centered at 0. The area under the curve represents probabilities, and we are looking for the area to the right of T = 1.5.
Step 3: Use the t-distribution table or statistical software. Locate the row corresponding to df = 8 in the t-distribution table. Find the value of T = 1.5 and determine the area to the right of this value. If using software, input the parameters (T = 1.5, df = 8) to calculate P(T > 1.5).
Step 4: If using the t-distribution table, note that the table typically provides the cumulative probability (area to the left of T). To find P(T > 1.5), subtract the cumulative probability from 1: P(T > 1.5) = 1 - P(T ≤ 1.5).
Step 5: Compare the calculated probability with the given answer choices (0.086, 0.089, 0.084, 0.173) to identify the correct answer.
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