Question

A random sample of 16 passengers between the two airports flying by ABC Airlines yielded a mean fare of $172. The population standard deviation of the fare is known to be $37.

Part A: What are the Mean and Standard Deviation of the sampling distribution of “Mean Fare” between the two airports? (Please use excel and show formulas used)

Part B: Calculate Margin of Error at 93.5% confidence. Calculate the 93.5% Confidence Interval on the fare between the two airports for ABC. Interpret the 93.5% confidence interval calculated above. (Please use excel and show formulas used)

Part C: Based on the 93.5% confidence interval calculated above, “Is the population mean fare between the two airports on ABC Airlines different than $150?” Why or Why not? (Please use excel and show formulas used)

Answer 1