A 90% Confidence Interval for the Mean Percentage of Airline

question 71

Multiple Choice

A 90% confidence interval for the mean percentage of airline reservations being canceled on the day of the flight is (1.3%, 5%) . What is the point estimator of the mean percentage of reservations that are canceled on the day of the flight?

• A) 3.15%
• B) 1.85%
• C) 2.50%
• D) 3.7%

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Definitions:

Production Department

The division within a company that is focused on the actual manufacturing or production of goods.

Indirect Labor

Wages paid to employees who are not directly involved in production, but support the manufacturing process.

Production Department

A specific area or segment of a manufacturing company responsible for the actual production of goods.

Weighted Average Method

The weighted average method calculates the cost of inventory based on the average cost of all similar items in inventory, adjusted for the quantity of items.