Nora likes to eat her lunch at a different fast food restaurant every day, so the amount she spends for lunch per day is a variable. Which of the following would be a reasonable estimate of the standard deviation of this variable?

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Quizplus · Accepted Answer

Since Nora eats at a different fast food restaurant every day, it is reasonable to assume that the cost of her lunch would vary within a certain range. A standard deviation of $1 would account for this variability without being too large or too small. Choices A and C are too small and do not take into account the possible range of costs Nora may encounter. Choice D is too large and assumes a much wider range of costs than is likely.

Nora Likes to Eat Her Lunch at a Different Fast