THE NEXT QUESTIONS ARE BASED ON THE FOLLOWING INFORMATION:
A sales representative has 425 accounts.From a random sample of 60 of these accounts,she found that the average yearly order was $1,250 with a standard deviation of $70.She also found that 28 out of 60 in the sample have placed an order in the last four weeks.
-Find a 90% confidence interval for the total amount of sales for the sales representative.
A)$531,250 ± 5,861.93
B)$87,500 ± $3,651.51
C)$75,000 ± $2,840.11
D)$29,750 ± $4,115.33

Question

Quizplus · Accepted Answer

The total amount of sales for the sales representative can be estimated by multiplying the average yearly order by the total number of accounts (1,250 * 425 = 531,250). The margin of error for the confidence interval can be calculated using the standard deviation and the sample size, but since the question asks for the total sales confidence interval and provides specific options, option A directly matches the calculated total sales and includes a margin of error, making it the correct choice.