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A Life Insurance Representative Believes That the Mean Age of People

question 41

Essay

A life insurance representative believes that the mean age of people who buy their first life insurance plan is less than 35.To test his belief he takes a random sample of 15 customers who have just purchased their first life insurance.Their ages are 42,43,28,34,30,36,25,29,32,33,27,30,22,37,and 40.There is not enough evidence to say the data are nonnormal.Can we conclude at the 1% significance level that the insurance representative is correct?


Definitions:

Imports

Products or services imported from foreign countries for the purpose of sale.

Reaction Function

A formula or strategy that describes how one player in a game reacts to the actions of another player, often used in the context of economic models of competition.

Demand Function

A mathematical representation showing the relationship between the quantity demanded of a good and its price.

Pumpkins

A type of squash plant that produces large, round, orange fruits associated with fall and Halloween decorations.

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