Question

In a random sample of 25 spacecrafts, the average cost of a hyperdrive is 5100 Galactic credits and the standard deviation was 600 Galactic credits. Assume the costs of the hyperdrives are normally distributed. If you construct an 80% confidence interval you have a margin of error of 158.16 credits and a confidence interval of 4941.84 credits to 5258.16 credits.

Write an interpretation of the results of the above confidence interval.

Answer 1

Solution

The 80% confidence interval = ( 4941.84, 5258.16 )

One can be 80% confident that the mean costs of the hyperdrives  between 4941.84 and 5258.16 credits.