Question

The prices in dollars for a particular model of camera are shown below for 10 online retailers. Estimate the true mean price for this particular camera with 95% confidence. Assume normal distribution.

225, 240, 215, 206, 211, 210, 193, 250, 225, 202

Please round to the nearest tenth and write your answer in the form ( , ); for example (31,34) or (25,46). Do not type in any extra spaces.

Answers

GPT-4o mini
To estimate the true mean price for the camera with 95% confidence, we can follow these steps:

1. Calculate the sample mean (\(\bar{x}\)) and the sample standard deviation (s).
2. Determine the t-score for 95% confidence with n-1 degrees of freedom.
3. Calculate the margin of error.
4. Construct the confidence interval.

**Step 1: Calculate the sample mean and standard deviation**

Given prices: 225, 240, 215, 206, 211, 210, 193, 250, 225, 202

- Sample size (n) = 10

Calculating the sample mean (\(\bar{x}\)):
\[
\bar{x} = \frac{(225 + 240 + 215 + 206 + 211 + 210 + 193 + 250 + 225 + 202)}{10} = \frac{ 2250}{10} = 225.0
\]

Calculating the sample standard deviation (s):
\[
s = \sqrt{\frac{\sum (x_i - \bar{x})^2}{n-1}}
\]

Calculating each deviation from the mean:
- \((225 - 225)^2 = 0\)
- \((240 - 225)^2 = 225\)
- \((215 - 225)^2 = 100\)
- \((206 - 225)^2 = 361\)
- \((211 - 225)^2 = 196\)
- \((210 - 225)^2 = 225\)
- \((193 - 225)^2 = 1024\)
- \((250 - 225)^2 = 625\)
- \((225 - 225)^2 = 0\)
- \((202 - 225)^2 = 529\)

Sum of squared deviations:
\[
0 + 225 + 100 + 361 + 196 + 225 + 1024 + 625 + 0 + 529 = 3285
\]

Now calculate s:
\[
s = \sqrt{\frac{3285}{10 - 1}} = \sqrt{\frac{3285}{9}} \approx \sqrt{364.33} \approx 19.1
\]

**Step 2: Determine the t-score for 95% confidence**

Degrees of freedom (df) = n - 1 = 10 - 1 = 9.

Using a t-table, the t-score for 9 degrees of freedom at 95% confidence is approximately equal to 2.262.

**Step 3: Calculate the margin of error**

Margin of error (ME):
\[
ME = t \cdot \frac{s}{\sqrt{n}} = 2.262 \cdot \frac{19.1}{\sqrt{10}} \approx 2.262 \cdot 6.032 = 13.66 \approx 13.7
\]

**Step 4: Construct the confidence interval**

The confidence interval is given by:
\[
(\bar{x} - ME, \bar{x} + ME) = (225.0 - 13.7, 225.0 + 13.7) = (211.3, 238.7)
\]

Therefore, the 95% confidence interval for the true mean price of the camera is:

\((211.3, 238.7)\)

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