Purchase Solution

Confidence Co-Efficients

Not what you're looking for?

Ask Custom Question

Olive Garden Swiss Chalet
Sample size 50 45
Sample mean $22 $18
Standard deviation $3.00 $3.25

How do I create interval estimate for the difference between the average fees of the 2 restaurants at a confidence co-effiecent at 95 %

What do I need to do to find out the difference in amount spent at the restaurants (sample means)? What test statistic do I use? I thought I should use the z-test because the sample size was greater than 30.

Purchase this Solution
Solution Summary

The expert determines how to create interval estimate for the difference between the average fees of the 2 restaurants at a confidence coefficient at 95 %

What do I need to do to find out the difference in amount spent at the restaurants (sample means)? What test statistic do I use? I thought I should use the z-test because the sample size was greater than 30.

Solution Preview

This is a test of difference in sample means
Usually we use t test, but in this question you might use z stat as well, given the large sample size.

Find the 95% confidence interval for the difference between the two means
Let Md=µ1-µ2= 22-18 = 4
In the general formula, the estimated standard error, SMd, is computed assuming that the variances in the two populations are equal. when n1 ≠ n2. The ...

Purchase this Solution
Free BrainMass Quizzes
Measures of Central Tendency

This quiz evaluates the students understanding of the measures of central tendency seen in statistics. This quiz is specifically designed to incorporate the measures of central tendency as they relate to psychological research.

Terms and Definitions for Statistics

This quiz covers basic terms and definitions of statistics.

Know Your Statistical Concepts

Each question is a choice-summary multiple choice question that presents you with a statistical concept and then 4 numbered statements. You must decide which (if any) of the numbered statements is/are true as they relate to the statistical concept.

Measures of Central Tendency

Tests knowledge of the three main measures of central tendency, including some simple calculation questions.

View More Free Quizzes
Related BrainMass Solutions

  • Calculation of the overall heat transfer coefficient in a radial system with fouling factors

    Determine the overall heat transfer coefficient, Uo, based on the outer surface of a brass tube with Di = 2.5cm and Do = 3.34cm [k = 110 W mK ] for the following conditions: The inside and outside convective heat transfer co-efficients are, respectively

  • Irreducible Polynomials

    a ) Consider the function , f (x) = Going by Descartes Rule of Sign Change , since there being no sign change in their co-efficients , we say that ...

  • Molar Mass of Iron(III) Oxide

    Molar mass of iron = 55.845 g/mol Molar mass of oxygen = 15.9994 Next you must multiply the molar masses by the appropriate co-efficients based on the chemical formula (iron x 2 and oxygen x 3) to get the molar mass of iron(III) oxide.

  • Elasticities of demand

    It is explained with the help of elasticity co-efficients.

  • Differences Between Thurstone and Likert Scales

    The Likert scales usually results in co-efficients with higher reliability and with fewer items than the Thurston scales. A study also showed that the Likert scale showed consistency and better validity than the Thurstone scale.

  • Confidence Interval Estimate - Social Media Example

    557575 Confidence Interval Estimate: Social Media Example In a survey of 1200 social media users, 76% said okay to friend co-workers, but 56% said it is not okay to friend co-workers.

  • Confidence interval for population mean: T-distribution

    Under the assumption that co-payment amounts are normally distributed, find a 90% confidence interval for the mean co-payment amount in dollars.Then complete the table below. Carry your intermediate computations to at least three decimal placed.

  • 90% and 99% Confidence interval for HMO example

    223836 90% and 99% Confidence interval for HMO example A random sample of 19 HMO's was selected. For each HMO the co-payment for a doctors office visit was recorded. The results were...

  • Confidence Interval for Population Proportion

    A market research consultant hired by the Pepsi-Cola Co. is interested in determining the proportion of consumers who favor Pepsi-Cola over Coke Classic in a particular urban location.

  • Construct both a price weighted and value weighted index

    Shows how to construct your own index to measure consumer confidence. Using data for Wal-Mart Stores Inc (WMT), Target Corp (TGT) and Kroger Co. (KR), shows constructing both a price weighted and value weighted index.

View More Related Solutions