In a recent audit report, an accounting firm stated that the mean ...

[waynest]

In a recent audit report, an accounting firm stated that the mean sale per customer for the client was estimated to be between 14.50 and 28.50.
 
  Further, this was based on a random sample of 100 customers and was computed using 95 percent confidence. Provide a correct interpretation of this confidence interval estimate.

Question 2

In performing a one-tailed test for the difference between two population variances, which of the following statements is true?
 
  A) The level of alpha needs to be doubled before finding the F-critical value in the table.
  B) The sample variance that is predicted to be larger in the alternative hypothesis goes in the numerator when forming the F-test statistic.
  C) You always place the larger of the two sample variances in the numerator.
  D) The alternative hypothesis must contain the equality.

[tdewitt]

Answer to Question 1

A correct interpretation is: Based on a random sample of 100 customers, with 95 percent confidence, we believe that the true mean sale per customer is in the range 14.50 to 28.50.

Answer to Question 2

B

[waynest]

Excellent

[ktidd]

Wow, this really help