⦁ A $10,000 certificate of deposit earns simple interest of 8 percent per year. Calculate the total earned money over the 5 year
1 answer:
Answer:
The total earned money over the 5 year period=$14,000
Step-by-step explanation:
We are given that
Principle amount, P=$10000
Rate of interest, r=8%
Time, t=5 years
We have to find the total earned money over the 5 year period.
We know that
Simple interest=
Using the formula
S.I=[tex]\frac{10000\times 8\times 5}{100}{/tex]
S.I=$4000
Now,
Amount=P+S.I
Amount=10000+4000
Amount=$14000
Hence, the total earned money over the 5 year period=$14000
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Answer:
A. 0.020
Step-by-step explanation:
we calculate the standard error of the sample mean with the formula,
,
with E= standard error of the sample mean
s= standard deviation
n= sample
So,
s= 0.2
n= 100
Answer:
a) 16.6
b) The 95% confidence level of the mean of the time playing video games is between 15.7 and 17.5 hours.
c) The 99% confidence level of the mean of the time playing video games is between 15.4 and 17.8 hours.
d) The margin of error increases as the confidence level increases, due to the value of z, which means that the 99% confidence interval is larger.
Step-by-step explanation:
a. Find the best point of estimate of the population mean
The best estimate for the population mean is the sample mean, which is 16.6
b. Find the 95% confidence level of the mean of the time playing video games
We have that to find our level, that is the subtraction of 1 by the confidence interval divided by 2. So:
Now, we have to find z in the Ztable as such z has a pvalue of .
That is z with a pvalue of , so Z = 1.96.
Now, find the margin of error M as such
In which is the standard deviation of the population and n is the size of the sample.
The lower end of the interval is the sample mean subtracted by M. So it is 16.6 - 0.9 = 15.7 hours
The upper end of the interval is the sample mean added to M. So it is 16.6 - 0.9 = 17.5 hours
The 95% confidence level of the mean of the time playing video games is between 15.7 and 17.5 hours.
c. Find the 99% confidence interval of the mean time playing video games
Following the same logic as above, we have that . So
The lower end of the interval is the sample mean subtracted by M. So it is 16.6 - 1.2 = 15.4 hours.
The upper end of the interval is the sample mean added to M. So it is 16.6 + 1.2 = 17.8 hours.
The 99% confidence level of the mean of the time playing video games is between 15.4 and 17.8 hours.
d. Which is larger? Explain why.
The margin of error increases as the confidence level increases, due to the value of z, which means that the 99% confidence interval is larger.