# Question: Tradepoint the electronic market set up to compete with the

Tradepoint, the electronic market set up to compete with the London Stock Exchange, is losing on average $32,000 per day. A potential long-term financial partner for Tradepoint needs a confidence interval for the actual (population) average daily loss, in order to decide whether future prospects for this venture may be profitable. In particular, this potential partner wants to be confident that the true average loss at this period is not over $35,000 per day, which it would consider hopeless. Assume the $32,000 figure given above is based on a random sample of 10 trading days, assume a normal distribution for daily loss, and assume a standard deviation of s = $6,000.

Construct a 95% confidence interval for the average daily loss in this period. What decision should the potential partner make?

Construct a 95% confidence interval for the average daily loss in this period. What decision should the potential partner make?

## Answer to relevant Questions

Landings and takeoffs at Schiphol, Holland, per month are (in 1,000s) as follows: 26, 19, 27, 30, 18, 17, 21, 28, 18, 26, 19, 20, 23, 18, 25, 29, 30, 26, 24, 22, 31, 18, 30, 19 Assume a random sample of months. Give a 95% ...According to the Wall Street Journal, an average of 44 tons of carbon dioxide will be saved per year if new, more efficient lamps are used. Assume that this average is based on a random sample of 15 test runs of the new ...In a survey, Fortune rated companies on a 0 to 10 scale. A random sample of 10 firms and their scores is as follows. FedEx 8.94, Walt Disney 8.76, CHS 8.67, McDonald's 7.82, CVS 6.80, Safeway 6.57, Starbucks 8.09, Sysco ...Wells Fargo Bank, based in San Francisco, offered the option of applying for a loan over the Internet. If a random sample of 200 test runs of the service reveal an average of 8 minutes to fill in the electronic application ...According to Shape, on the average, 1/2 cup of edamame beans contains 6 grams of protein. If this conclusion is based on a random sample of 50 half-cups of edamames and the sample standard deviation is 3 grams, construct a ...Post your question