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NARRBEGIN: Profit Margin Profit Margin An investor considering two types of investment.
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# Question : NARRBEGIN: Profit Margin Profit Margin An investor considering two types of investment. : 2089465

NARRBEGIN: Profit Margin

Profit Margin

An investor is considering two types of investment. She is quite satisfied that the expected profit margin on Investment 1 is higher than the expected profit margin on Investment 2. However, she is quite concerned that the risk associated with Investment 1 is higher than that of Investment 2. To help make her decision, she randomly selects seven monthly profit margins on investment 1 and ten monthly profit margins on investment 2. She finds that the sample variances of Investments 1 and 2 are 225 and 118, respectively.

NARREND

58. {Profit Margin Narrative} Estimate with 95% confidence the ratio of the two population variances.

59. {Profit Margin Narrative} Briefly describe what the interval estimate tells you.

NARRBEGIN: Clinic Waiting Time

Clinic Waiting Time

In a random sample of 20 patients who visited a clinic at Medical Center 1, a researcher found that the variance of the waiting time (in minutes) was 128.0. In a random sample of 15 patients in the clinic of Medical Center 2, the researcher found the variance to be 178.8.

NARREND

60. {Clinic Waiting Time Narrative} Can we infer at the 5% level of significance that the population variances differ?

## Solution 5 (1 Ratings )

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