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blsea [12.9K]
3 years ago
6

Private colleges and universities rely on money contributed by individuals and corporations for their operating expenses. Much o

f this money is put into a fund called an endowment, and the college spends only the interest earned by the fund. A recent survey of 8 private colleges in the United States revealed the following endowments (in millions of dollars): 60.2, 47.0, 235.1, 490.0, 122.6, 177.5, 95.4, and 220.0. What value will be used as the point estimate for the mean endowment of all private colleges in the United States?
Mathematics
1 answer:
Art [367]3 years ago
4 0

Answer:

The value will be used as the point estimate for the mean endowment of all private colleges in the United States is of 180.975 millions of dollars.

Step-by-step explanation:

When we have a sample, the mean of the sample is used as the point estimate for the mean of the entire population.

What value will be used as the point estimate for the mean endowment of all private colleges in the United States?

We have to find the mean of the 8 colleges. So

M = \frac{60.2 + 47.0 + 235.1 + 490.0 + 122.6 + 177.5 + 95.4 + 220.0}{8} = 180.975

The value will be used as the point estimate for the mean endowment of all private colleges in the United States is of 180.975 millions of dollars.

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