Question

The Chartered Financial Analyst (CFA®) designation is fast becoming a requirement for serious investment professionals. Although it requires a successful completion of three levels of grueling exams, it also entails promising careers with lucrative salaries. A student of finance is curious about the average salary of a CFA® charterholder. He takes a random sample of 36 recent charterholders and computes a mean salary of $156,000 with a standard deviation of $27,000. Use this sample information to determine the 90% confidence interval for the average salary of a CFA® charterholder. (Round intermediate calculations to 4 decimal places, "t" value to 3 decimal places, and final answers to the nearest whole number.)

Answer 1

90% confidence interval for u is x t (s/n)

at 90% confidence at df=n-1 in 2 tail from t table we get the t critical value