SOLUTION: In an article in the Journal of Management, Morris, Avila and Allen studied innovation by surveying firms to find the number of new products introduced by the firms. A random sam

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Question 132773: In an article in the Journal of Management, Morris, Avila and Allen studied innovation by surveying firms to find the number of new products introduced by the firms. A random sample of 100 California based firms are selected. Each firm is asked to report the number of new products introduced last year. The survey found that on average these firms introduced 5.68 products with a standard deviation of 8.70. Compute a 98% confidence interval for the new products introduced last year.
Answer by stanbon(75887) (Show Source):
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A random sample of 100 California based firms are selected. Each firm is asked to report the number of new products introduced last year. The survey found that on average these firms introduced 5.68 products with a standard deviation of 8.70. Compute a 98% confidence interval for the new products introduced last year.
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x-bar = 5.68
t-value for 98% confidence with df = 99 : t = +/-2.326
E = 2.326 = 2.67356...
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90% C.I. : (5.68-2.67356, 5.68+2.67356)
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