Chapter 7.1, Problem 24P

(a)

To determine

Check the mean by using the calculator.

(b)

To determine

Find the 80% confidence interval for $\mu$, the average annual profit per employee for retail sales.

(c)

To determine

Explain whether the profit of employee is low compared with other retail stores, if annual profit per employee is less than 3 thousand dollars based on 80% confidence interval.

(d)

To determine

Explain whether the profit of employee is high compared with other retail stores, if annual profit per employee is more than 6.5 thousand dollars based on 80% confidence interval.

(e)

To determine

Find the 95% confidence interval for $\mu$, the average annual profit per employee for retail sales.

Explain whether the profit of employee is low compared with other retail stores, if annual profit per employee is less than 3 thousand dollars based on 95% confidence interval.

Explain whether the profit of employee is high compared with other retail stores, if annual profit per employee is more than 6.5 thousand dollars based on 95% confidence interval.