Question

Some accounting firms give the client an option to pay a fee when the tax return is completed that guarantees tax advices and support from the accountant if the client were audited. A large accounting firm is trying to determine what fee to charge for next​ year'sreturns. In previous​ years,the actual mean cost to the firm for attending a client audit session was $660. To determine if this cost has​ changed,the firm randomly samples 34client audit fees. The sample mean audit cost was $700with a standard deviation of $75.Complete parts a and b below.

​a)Develop a 90​%confidence interval estimate for the mean audit cost.

Answer 1