Question: In a recent sample of 84 used car sales costs, the sample mean was $6,425 with a standard deviation of $3,156. Assume the underlying distribution is approximately normal.
a. Which distribution should you use for this problem? Explain your choice.
b. Define the random variable X ¯ in words.
c. Construct a 95% confidence interval for the population mean cost of a used car.
i. State the confidence interval.
ii. Sketch the graph.
iii. Calculate the error bound. d. Explain what a "95% confidence interval" means for this study.