You Want to Estimate the Average Gas Price in Your

question 1

Multiple Choice

You want to estimate the average gas price in your city for a litre of regular unleaded gasoline.From your sample of 15 gas stations,you calculate a 95% confidence interval of ($1.34,$1.40)

• A)You are 95% sure that the average price for a litre of regular unleaded gasoline in your city is between $1.34 and $1.40.
• B)You are 95% confident that the average price for a litre of regular unleaded gasoline in the country is within $0.03 of $1.37.
• C)You are 95% sure that gas stations in this sample have average costs between $1.34 and $1.40.
• D)95% of all samples of gas stations will have average costs between $1.34 and $1.40.
• E)If you took many samples of gas stations in your city,about 95% of them would produce this confidence interval.

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Definitions:

Demand During Lead Time

The total customer demand for a product during the period it takes to reorder and receive a new supply.

Random Number Intervals

A sequence or range of numbers generated in such a way that each possible number is equally likely to occur, often used in simulations and statistical sampling.

Single-Channel

Pertaining to systems or processes that have only one path or mode of operation for handling tasks or transactions.

Single-Phase System

A system in which the customer receives service from only one station and then exits the system.