A Study Was Recently Conducted at a Major University to Estimate

question 31

Multiple Choice

A study was recently conducted at a major university to estimate the difference in the proportion of business school graduates who go on to graduate school within five years after graduation and the proportion of non-business school graduates who attend graduate school. A random sample of 400 business school graduates showed that 75 had gone to graduate school while in a random sample of 500 non-business graduates, 137 had gone on to graduate school. Based on a 95 percent confidence level, what is the upper limit of the confidence interval estimate?

• A) 0.2340
• B) 0.1034
• C) -0.031
• D) -0.018

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Definitions:

Average Starting Salary

The mean initial compensation that individuals receive when they start a new job, typically used as a benchmark in job offer negotiations.

Standard Deviation

A measure of the amount of variation or dispersion of a set of values, indicating how much the values differ from the mean.

Normally Distributed

A descriptor for a type of statistical distribution that is symmetric around its mean, showing that data near the mean are more frequent in occurrence than data far from the mean.

Average Starting Salary

The median initial compensation received by employees in their first position post-graduation or certification.