The SoftBus Company sells PC equipment and customized software to small companies to help them manage their day- to-day business activities. Although SoftBus spends time with all customers to understand their needs, the customers are eventually on their own to use the equipment and software intelligently. To understand its customers better, SoftBus recently sent questionnaires to a large number of prospective customers. Key personnel— those who would be using the software—were asked to fill out the questionnaire. SoftBus received 82 usable responses, as shown in the file. You can assume that these employees represent a random sample of all of SoftBus's prospective customers.

Following up on the previous problem, SoftBus believes its profit from each prospective customer depends on the customer's level of PC knowledge. It divides the customers into three classes: PC-savvy, PC-illiterate, and all others (where the first classes are as defined in the previous problem). As a rough guide, SoftBus figures it can gain profit P ₁ , from each PC- savvy customer, profit P ₃ from each pc-illiterate company, and profit P2 from each of the others.

a. What values of P ₁ , P ₂ , and _P3 seem reasonable? For example, would you expect P ₁ < P ₂ < P ₃ or the opposite?

b. Using any reasonable values for P ₁ , P ₂ , and P ₃ , find a 95% confidence interval for the mean profit per customer that SoftBus can expect to obtain.

Answer rating: 100% (QA)

The sample consists of n 82 records There are 47 customers who do not own PC and there are 35 custom... View the full answer