In an Examination of Holiday Spending (Known to Be Normally

question 60

Multiple Choice

In an examination of holiday spending (known to be normally distributed) of a sample of 16 holiday shoppers at a local mall,an average of $54 was spent per hour of shopping.Based on the current sample,the standard deviation is equal to $21.Find a 90% confidence interval for the population mean level of spending per hour.

• A) [$44.8335,$63.1665]
• B) [$44.7967,$63.2033]
• C) [$45.3637,$62.6363]
• D) [$46,9597,$61.0403]

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Definitions:

Lower of Average Cost or Market

An inventory valuation method where inventory is valued at either its average cost or market value, whichever is lower.

Cost-to-retail Percentage

A ratio used in inventory valuation that compares the cost of inventory to its retail price.

Freight-in Charges

Costs associated with transporting goods from the supplier to the buyer's location.

Sales Returns

Transactions where customers return previously purchased merchandise, leading to a reduction in the seller's revenue.