The statistical abstract of the united states reports that the mean daily number of shares traded on the NYSE in 2002 was 1441million. Assume that the population standard deviation equals 500 million shares. Suppose, in a random sample of 36 days from the present year, the mean daily number of shares traded equals 1.5 billion. Let the confidence level be 95%.
a. Find the point estimate of the population mean.
b. Calculate Standard deviation/√n
c. Calculate Z (subscript-alphasymbol/2) interval for the 95% confidence level.
d. Compute and interpret the margin of error for a confidence interval for the 95% confidence level.
e. Construct and interpret the margin of error for a confidence interval for the 95% for the population mean.
f. How large a sample ( trading days) is needed to estimate the population mean number of shares
Traded per day to within 100 million with 95% confidence.
g. How large a sample (trading days) is needed to estimate the population mean number of shares traded per day within 10 million with 95% confidence? How many years does this number of days translate into?