Question

1. MGMT 305 Business Statistics
   1. Interpret the interval in the context of the question being studied.

We are 95% confident that undergrads in 1998 carried on average between 1.021 and 1.519 fewer credit cards than 2015 undergrads.

2. How might a university make use of this result?

Answer 1

a)

It is given that university is 95% confident that undergrads in 1998 carried on average between 1.021 and 1.519 fewer credit cards than 2015 undergrads.

Thus, this indicates that the undergrads in 1998 will have credits fewer than 2015 grads in the range (1.021,1.519) for 95% of times

Now, mean fewer credits = (1.021+1.519)/2 = 1.27

Standard deviation = 1.519 - 1.27 = 0.249

b) University can make use of these parameters to predict the mean fewer credits for 1998 undergrads compared to 2015 undergrads and their variability within the given range