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A Marketing Research Company Is Estimating the Average Total Compensation

Question 78

Essay

A marketing research company is estimating the average total compensation of CEOs in
the service industry. Data were randomly collected from 18 CEOs and the 99% confidence
interval was calculated to be ($2,181,260, $5,836,180). Based on the interval above, do you
believe the average total compensation of CEOs in the service industry is more than
$1,500,000?

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