# Question: A businesswoman is considering whether to open a coffee shop

A businesswoman is considering whether to open a coffee shop in a local shopping center. Before making this decision, she wants to know how much money people spend per week at coffee shops in that area. She took a random sample of 26 customers from the area who visit coffee shops and asked them to record the amount of money (in dollars) they would spend during the next week at coffee shops. At the end of the week, she obtained the following data (in dollars) from these 26 customers:

Assume that the distribution of weekly expenditures at coffee shops by all customers who visit coffee shops in this area is approximately normal.

a. What is the point estimate of the corresponding population mean?

b. Make a 95% confidence interval for the average amount of money spent per week at coffee shops by all customers who visit coffee shops in this area.

Assume that the distribution of weekly expenditures at coffee shops by all customers who visit coffee shops in this area is approximately normal.

a. What is the point estimate of the corresponding population mean?

b. Make a 95% confidence interval for the average amount of money spent per week at coffee shops by all customers who visit coffee shops in this area.

## Relevant Questions

A random sample of 34 participants in a Zumba dance class had their heart rates measured before and after a moderate 10-minute workout. The following data correspond to the increase in each individual’s heart rate (in ...Check if the sample size is large enough to use the normal distribution to make a confidence interval for p for each of the following cases. a. n = 50 and p̂ = .25 b. n = 160 and p̂ = .03 c. n = 400 and p̂ = .65 d. n = 75 ...A sample selected from a population gave a sample proportion equal to .31. a. Make a 95% confidence interval for p assuming n = 1200. b. Construct a 95% confidence interval for p assuming n = 500. c. Make a 95% confidence ...According to a Pew Research Center nationwide telephone survey of adults conducted March 15 to April 24, 2011, 69% of college graduates said that their college education gave them maturity (Time, May 30, 2011). Suppose that ...Refer to Exercise 8.92. Assume that a preliminary study has shown that 93% of all Tony’s pizzas are delivered within 30 minutes. How large should the sample size be so that the 99% confidence interval for the population ...Post your question