# Statistics

posted by .

Waste Today Services operates a garbage hauling company in a South Jersey city. Each year, the company must apply for a new contract with the city. The contract is in part based on the pounds of garbage hauled. Part of the analysis that goes into the contract development is an estimate of the mean pound of garbage put out by each customer in the city. The city has asked for both 99% and 90% confidence interval estimates for the mean. A sample of 100 customers was taken. It is known that the population standard deviation is 12.6 pounds and the sample mean is 40.78. What is the impact in changing the confidence level?

• Statistics -

Use confidence interval formulas:

CI99 = mean ± (2.58)(sd/√n)
...where mean = 40.78; 2.58 represents 99% interval; sd = 12.6; n = 100.

Calculate the interval.

Use the formula again for a 90% confidence interval using the appropriate value from a z-table.

Once you calculate both intervals, you should be able to see the difference.

I hope this will help get you started.

## Similar Questions

1. ### FUND OF BUSINESS LAW

Facts: Frank owns a well-known restaurant in downtown Milwaukee within easy walking distance from the city's convention center. The Organization of Chemical Research has a contract with the city of Milwaukee for the use of the convention …
2. ### Finances

Assume that you have two contracts to choose from: Contract A pays \$5,000 per year for 5 years starting one year from today. Contract B pays \$5,000 per year for 5 years starting today. The discount rate for each is 6%. Which annuity …
3. ### math

A garbage can is in the shape of a rectangular prism. The area of the base of the garbage can is 480 square inches. The height of the garbage can is 30 inches. (Part A) how many cubic inches of space are inside this garbage can?
4. ### statistics

1. The time required to complete a project is normally distributed with a mean of 80 weeks and a standard deviation of 10 weeks. The construction company must pay a penalty if the project is not finished by the dues date of the contract. …
5. ### statistics

Waste Today Services operates a garbage hauling company in a South Jersey city. Each year, the company must apply for a new contract with the city. The contract is in part based on the pounds of garbage hauled. Part of the analysis …
6. ### Phoneix

Jarman consulting inc. provides financial and estate planning services on a retainer basis for the executive officers of is corporate clients. it incurred the following labor costs on services for three corporate clients during march …
7. ### science

Based on your knowledge of the garbage assemblage, what can you learn about the person(s) who created it and how might this be used to draw conclusions about their lives (e.g., diet, age, socioeconomic status, gender etc.)?
8. ### Statistics

A small software company bids on two contracts. It anticipates a profit of \$60,000 if it gets the larger contract and \$25,000 if it gets the smaller contract. The company estimates that there is a 32% chance it will get the larger …
9. ### physics

an airplane flies 200km from city a to city b east,then 200km south from city b to c,and finally 100km northwest to city d.how far is it from city a to city d.in what direction must the airplane head to return directly to city a from …
10. ### financial securities

Cat Bonds An insurance company has sold insurance to cover damage that arises from hurricanes in the South Texas area. If a hurricane occurs, the insurance company is faced with losses as it pays out claims. The magnitude of the losses …

More Similar Questions