It Is Desired to Estimate the Average Total Compensation of CEOs

question 7

Multiple Choice

It is desired to estimate the average total compensation of CEOs in the Service industry. Data were randomly collected from 18 CEOs and the 97% confidence interval was calculated to be ($2,181,260, $5,836,180) . Which of the following interpretations is correct?

• A) In the population of Service industry CEOs, 97% of them will have total compensations that fall in the interval $2,181,260 to $5,836,180.
• B) We are 97% confident that the average total compensation of all CEOs in the Service industry falls in the interval $2,181,260 to $5,836,180.
• C) We are 97% confident that the mean of the sampled CEOs falls in the interval $2,181,260 to $5,836,180.
• D) 97% of the sampled total compensation values fell between $2,181,260 and $5,836,180.

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Definitions:

Nurse

A healthcare professional specialized in providing care and support to patients in various settings, including hospitals, clinics, and community care.

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A healthcare professional specially trained to care for the sick and assist in their recovery and health maintenance.