Question

A car dealership looked back at the previous year sales records last year the dealership sold 422 vehicles that mean sale price was 24,500 with a standard deviation of 12,875 dealership Also discovered that the distribution of the sale price is skewed to the right at the dealership we’re to select repeated random samples of 40 vehicles from the population of a vehicle sold last year and calculate the average sale price for each sample of 40 which of the following gives the correct mean and standard deviation of the sampling distribution of the sample mean

Answer 1

Answer:

(A) Mean = $24,500, Standard deviation = 12,875/ √40

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Explanation:

Because the sample size is large (n = 40 > 30) the sampling distribution of the sample mean sales price is approximately normal. The mean is

μx =μ=24,500 and the standard deviation is the standard deviation divided the square root of n

Answer 2

Answer: mean= 24,500 stan dev.= $\frac{12875}{\sqrt{40}}$

Explanation: Because the sample size is large (n = 40 > 30) the sampling distribution of the sample mean sales price is approximately normal.