2. Industrialist H.E. Pennypacker wantsinformation on the customers that patronize his bicycle stores. Hesurveyed 81 randomly-selected individuals who made a purchase athis Pasadena store to find out how much they spent, on average. Themean amount spent was $62 with a standard deviation of $15.
a) What is the population in this study?
b) Construct a 95% CI for the mean amount of money anindividual spends at the Pasadena store. Explain the meaning ofthis CI (i.e., what does it say about the parameter ofinterest?).
c) Construct a 99% CI for the mean amount of money spentat the Pasadena store. Contrast this interval with the one from band explain why it is different.
d) Suppose 100 people were initially surveyed, but 19 ofthem actually refused to answer (leading to the final sample sizeof 81). If the 19 individuals who refused to answer spentconsiderably less money than the 81 who did respond, how would thisaffect the estimate of the mean and the CI?
