SCENARIO 7-7 A Recent Survey Revealed That American's Christmas Spending Averaged $830

question 57

Short Answer

SCENARIO 7-7
A recent survey revealed that American's Christmas spending averaged $830. Use this as the
population mean American's Christmas spending. Suppose American's Christmas spending is
normally distributed with a standard deviation of $220. Random sample of size 100 are selected from
the population of American consumers.
-Referring to Scenario 7-7, what is the probability that the sample mean spending is less than
900 hours?

---

Definitions:

Chequing Account

A type of bank account that offers easy access to funds for daily transactions, allowing for deposits, withdrawals, and cheque payments.

Cheque

A written, dated, and signed instrument that directs a bank to pay a specific sum of money to the bearer or a named party.

Safety Stock

Extra inventory maintained to guard against stockouts due to variance in supply or demand.

Inventory Level

The quantity of goods and materials on hand and available for sale or use by a business at any given time.