Answer: Margin of error = 8.32, and Confidence interval using normal distribution is narrower than confidence interval using t-distribution.
Step-by-step explanation:
Since we have given that
n = 13
Mean repair cost = $85.00
Standard deviation = $15.30
At 95% confidence interval,
z= 1.96
Since it is normally distributed.
Margin of error is given by
![z\times \dfrac{\sigma}{\sqrt{n}}\\\\=1.96\times \dfrac{15.30}{\sqrt{13}}\\\\=8.32](https://tex.z-dn.net/?f=z%5Ctimes%20%5Cdfrac%7B%5Csigma%7D%7B%5Csqrt%7Bn%7D%7D%5C%5C%5C%5C%3D1.96%5Ctimes%20%5Cdfrac%7B15.30%7D%7B%5Csqrt%7B13%7D%7D%5C%5C%5C%5C%3D8.32)
95% confidence interval would be
![\bar{x}\pm z\dfrac{\sigma}{\sqrt{n}}\\\\=85\pm 1.96\times \dfrac{15.30}{\sqrt{13}}\\\\=85\pm 8.32\\\\=(85-8.32,85+8.32)\\\\=(76.68,93.32)](https://tex.z-dn.net/?f=%5Cbar%7Bx%7D%5Cpm%20z%5Cdfrac%7B%5Csigma%7D%7B%5Csqrt%7Bn%7D%7D%5C%5C%5C%5C%3D85%5Cpm%201.96%5Ctimes%20%5Cdfrac%7B15.30%7D%7B%5Csqrt%7B13%7D%7D%5C%5C%5C%5C%3D85%5Cpm%208.32%5C%5C%5C%5C%3D%2885-8.32%2C85%2B8.32%29%5C%5C%5C%5C%3D%2876.68%2C93.32%29)
A 95% confidence interval using the t-distribution was (75.8, 94.2 ).
Confidence interval using normal distribution is narrower than confidence interval using t-distribution.