Week 4 DQ 3 - 1. The Human Relations Department of...

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1. The Human Relations Department of Electronics, Inc., would like to include a dental plan as part of the benefits package. The question is: How much does a typical employee and his or her family spends per year on dental expenses? A sample of 45 employees reveals the mean amount spent last year was $1,820, with a standard deviation of $660. a. Construct a 95 percent confidence interval for the population mean. Interpret the interval. It shows the Construct of 95 percent confidence interval for the population mean is 1,627.16 up to 2012.84 b. The information from part (a) was given to the president of Electronics, Inc. He indicated he could afford $1,700 of dental expenses per employee. Is it possible that the population mean could be $1,700? Justify your answer. Yes he could because $1700 is within the 95% confidence interval. 2. The Warren County Telephone Company claims in its annual report that “the typical customer spends $60 per month on local and long distance service.” A sample of 12 subscribers
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This note was uploaded on 06/25/2011 for the course RES 341 taught by Professor Hermis during the Spring '10 term at University of Phoenix.

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