TABLE 12-12
The manager of the purchasing department of a large savings and loan organization would like to develop a model to predict the amount of time (measured in hours) it takes to record a loan application. Data are collected from a sample of 30 days, and the number of applications recorded and completion time in hours is recorded. Below is the regression output:

Note: 4.3946E-15 is 4.3946 x 10-15.

-Referring to Table 12-12, there is a 95% probability that the mean amount of time needed to record one additional loan application is somewhere between 0.0109 and 0.0143 hours.

Question

TABLE 12-12
The manager of the purchasing department of a large savings and loan organization would like to develop a model to predict the amount of time (measured in hours) it takes to record a loan application. Data are collected from a sample of 30 days, and the number of applications recorded and completion time in hours is recorded. Below is the regression output:
  
Note: 4.3946E-15 is 4.3946 x 10-15.

-Referring to Table 12-12, there is a 95% probability that the mean amount of time needed to record one additional loan application is somewhere between 0.0109 and 0.0143 hours.

Quizplus · Accepted Answer

The statement describes a confidence interval, which means that we are 95% confident that the true mean lies within the interval, not that there is a 95% probability.

TABLE 12-12 The Manager of the Purchasing Department of a Large Savings