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
[tex]z\times \dfrac{\sigma}{\sqrt{n}}\\\\=1.96\times \dfrac{15.30}{\sqrt{13}}\\\\=8.32[/tex]
95% confidence interval would be
[tex]\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)[/tex]
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.