Professors of Accountancy Are in High Demand at American Universities

question 4

Multiple Choice

Professors of accountancy are in high demand at American universities.A random sample of 28 new accounting professors found the average salary was $135 thousand with a standard deviation of $16 thousand.Assume the distribution is normally distributed.Construct a 95% confidence interval for the salary of new accounting professors.Answers are in thousands of dollars.

• A) [102.1680,167.832]
• B) [127.8247,142.1753]
• C) [128.7953,141.2047]
• D) [129.0735,140.9265]

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Definitions:

Relative Frequency

The ratio of the number of times an event occurs to the total number of trials or observations.

Subjective

Rooted in or swayed by one's own emotions, preferences, or views.

Equity Loan

A type of loan in which the borrower uses the equity of their property as collateral.

Interest Rate

The amount charged, expressed as a percentage of the principal, by a lender to a borrower for the use of assets.