Test Hypotheses About a Population Mean with Known Using Confidence $\$ 192$

question 90

Short Answer

Test Hypotheses about a Population Mean with Known Using Confidence Intervals
-A group of 40 homeowners showed that their average monthly gasoline bill was $\$ 192$ with a standard deviation of $\$ 8$ . According to a national consumer group, their mean bill should be $\mu = \$ 188$ . Test this hypothesis by constructing a $95 \%$ confidence interval for the population mean.

---

Definitions:

Translation Adjustment

An accounting entry that reflects the impact of currency fluctuations in the financial statements of a company with operations in foreign currencies.

Foreign Currency

Currency used that is not the domestic currency of the country in which a transaction is being conducted.

Net Asset Balance Sheet Exposure

The risk that the value of a company's assets minus its liabilities, measured in its reporting currency, will decrease due to foreign exchange rate fluctuations.

Translation Adjustment

An adjustment made in the financial statements to account for exchange rate variations in translating operations of foreign subsidiaries into the parent company’s reporting currency.