Question

The amount of money collected by a snack bar at a large university has been recorded daily for the past five years. Records indicate that the mean daily amount collected is $1,950 and the standard deviation is $600. The distribution is skewed to the right due to several high volume days​ (including football game​ days). Suppose that 100 days were randomly selected from the five years and the average amount collected from those days was recorded. Which of the following describes the sampling distribution of the sample​ mean?

_________________________________________________________________

A. Normally distributed with a mean of $1,950 and a standard deviation of $60

B.Skewed to the right with a mean of $1,950 and a standard deviation of $600

C.Normally distributed with a mean of $195 and a standard deviation of $60

D.Normally distributed with a mean of $1,950 and a standard deviation of 600

Answer 1

Solution :

Given that,

The sampling distribution of mean is ,

= $1950

The sampling distribution of standard deviation is ,  

= / n = 600 / 100 = $60

A. Normally distributed with a mean of $1,950 and a standard deviation of $60