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What is the mean yearly sugar consumption for the American Sugar Producers Association?

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The American Sugar Producers Association wants to estimate the mean yearly sugar consumption. A sample of 16 people reveals the mean yearly consumption to be 60 pounds with a standard deviation of 20 pounds.

1. What is the value of the population mean? What is the best estimate of this value?
2. Explain why we need to use the t distribution. What assumption do you need to make?
3. For a 90 percent confidence interval, what is the value of t?
4. Develop the 90 percent confidence interval for the population mean.
5. Would it be reasonable to conclude that the population mean is 63 pounds?

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Solution Summary

The solution gives the details of computation of confidence interval mean yearly sugar consumption. Step by step procedure is given for the computation confidence interval based on t distribution. This solution is included as both a Word and a PDF document.

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