High-power experimental engines are being developed by the Stevens Motor Company for use in its new sports coupe. The engineers have calculated the maximum horsepower for the engine to be 620HP. Nine engines are randomly selected for horsepower testing. The sample has an average maximum HP of 690 with a standard deviation of 60HP. Assume the population is normally distributed. Step 1 of 2 : Calculate a confidence interval for the average maximum HP for the experimental engine. Use a significance level of α=0.05. Round your answers to two decimal places.
Given
= 60
n=9
X_bar = 690
= 0.05
Now calculate 95% of confidence interval using formula is given by
CI = x_bar t*(/n)
The t value for 95% confidence interval with 8 degree of freedom is 2.306
i.e t = 2.306
CI = 690 2.306*(60/9)
= 690 46.12
CI = 690 - 46.12 and CI = 690 + 46.12
= 643.88 CI = 736.12
Hence 95% of confidence interval is (643.88 to 736.12).
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