The Following Data Represent a Random Sample of Bank Balances

question 167

Multiple Choice

The following data represent a random sample of bank balances for a population of checking account customers at a large eastern bank. Based on these data, what is the 95 percent confidence interval estimate for the true population mean?

• A) Approximately $1,069 ± $484.41
• B) About $839.40 to $1,298.60
• C) Approximately $1,069 ± 2.1098
• D) None of the above

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Definitions:

Null Hypothesis

A hypothesis that suggests there is no statistical significance in a set of given observations, implying no effect or relationship.

Linear Relationship

A relationship between two variables where the change in one variable is directly proportional to the change in another variable.

Pearson Correlation

A statistical measure that calculates the strength and direction of a linear relationship between two quantitative variables.

Covariance

A measure that indicates the extent to which two variables change together; if the greater values of one variable mainly correspond with the greater values of the other variable, and the same holds for the lesser values.