Question

Levitas Fund wanted to determine the return on investment for its customers. A sample of 10 customers showed the following returns (in US dollars) in 2018.

3,611	2,593	2,477	2,554	2,528	3,414	2,599	2,850	3,586	3,049

1. What is the point estimate of the population mean? (Round your answer to 2 decimal places.)

2. Develop a 95% confidence interval for the population mean. (In your calculations, use 3 decimals for the t value and 2 decimals for the standard deviation value; round your final answers to 2 decimal places.)

Answer 1

n= 10

now calculate the sample mean and sample standard deviation for the given data we get

sample mean ( ) = 2926.10

sample standard deviation ( s ) = 457.05

a)

point estimate of the population mean = 2926.10

b)

c= 95%

formula for confidence interval is

Where tc is the t critical value for c=95% with df=n-1 = 10 -1 = 9

using t table we get critical value as

tc = 2.262

2599.17 <    < 3253.03

We get confidence interval as ( 2599.17 , 3253.03)