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The FDA is comparing the mean caffeine contents of two brands of cola. Independent random samples of 6-oz. cans of each brand were selected and the caffeine content of each can determined.
The study provided the following summary information.
How many cans of each soda would need to be sampled in order to estimate the difference in the mean caffeine content to within . 10 with reliability?
Loanable Funds
The money available for borrowing, encompassing both the savings of individuals and institutions and the money created by banks.
Equilibrium Interest Rate
The interest rate at which the demand for funds equals the supply of funds, balancing savings with investment in the economy.
Loanable Funds Demanded
The total amount of funds sought after by borrowers in the financial market at a given interest rate.
Interest Rate
The percentage of an amount of money charged for its use per period of time.
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