Based on this information can you please help me calculate for the following numbers

We can be 95% confident that the interval (0.721- 0.779)

N is 5800

Can you please explain how the got 2389 for the interval of .827 and how they got 2242 for the lower bound of .773.

My numbers for the lower 0.722 and for the upper is 0.779.

Determine the expected value of the amount that could be paid to Gunter in a settlement. Use the 80% probability figure. Also determine a maximum and minimum expected value for the settlement figure based on the confidence interval above. Be sure to include all of the damages Gunter will be able to recover. How would you interpret your expected values?

Theexpected valueis the weighted average of a set of values where the weights are the probabilities of the values. In this problem the values are all costs so the expected value can be calledexpected cost. Here the expected value is found by multiplying the probabilityof each possible event by the monetary consequence (cost) of that event. Then the results for all events that can occur are summed.

Acme's conduct in this case does not appear to meet the egregiousness standard for purposes of awarding punitive damages. It did not appear to deliberately act with knowledge of a high probability of harm and reckless indifference to the consequences of its actions. Thus,nopunitive damages are considered.

The negligence claims that can be considered are (1) the payment of $800 as reimbursement for the expenditure to Mr. Retriever and (2) the payment of $5,000 to cover the cost of time to reconstruct lost materials. Your students may rationalize different values; give them credit if their answers are well thought out.

The expected value (or expected cost) = (.8)(.5)($5800) + (.2)($0) = $2320. The expected value based on the upper bound of the confidence interval of .827 is $2398. The expected value based on the lower bound of .773 is $2242. If there were many cases with similar costs, the mean settlement would be $2320, assuming the 80% figure. Even if the 80% varies (and assuming the 50% is correct), the interval $2242 - $2398 is relatively small. $2320 appears to be a reasonable estimate.