The Manager of the Service Department of a Local Car

question 12

Multiple Choice

The manager of the service department of a local car dealership has noted that the service times of a sample of 15 new automobiles has a standard deviation of 4 minutes.A 95% confidence interval estimate for the variance of service times for all their new automobiles is

• A) 8.576 to 39.794.
• B) 9.46 to 34.09.
• C) 2.144 to 9.948.
• D) 2.93 to 6.31.

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Definitions:

Average Total Cost Curve

A graphical representation that shows the average total cost of producing different quantities of a good.

Diminishing Returns

A principle stating that if one factor of production is increased while other factors are held constant, the output per unit of the variable factor will eventually decrease.

Output Levels

Quantities of products or services produced within a given timeframe, reflecting the scale of a company's or industry's production.

Spreading

The practice of diversifying investments or risks to minimize potential losses.