Question 1
Private colleges and universities rely on money contributed by individuals and corporations for their operating expenses. Much of this money is invested in a fund called an endowment, and the college spends only the interest earned by the fund. A recent survey of eight private colleges in the United States revealed the following endowments (in millions of dollars): 64.5, 55.1, 232.8, 496.1, 127.6, 186.4, 104.7, and 212.2. What value will be used as the point estimate for the mean endowment of all private colleges in the United States?
◦ 1479.4
◦ 184.925
◦ 8
◦ 211.343
Question 2
Fifteen SmartCars were randomly selected and the highway mileage of each was noted. The analysis yielded a mean of 47 miles per gallon and a standard deviation of 5 miles per gallon. Which of the following would represent a 90% confidence interval for the average highway mileage of all SmartCars?
◦ 47 ± 1.345
◦ 47 ± 1.761
◦ 47 ± 1.753
◦ 47 ± 1.645
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