A toy manufacturer wants to know how many new toys children buy each year. A sample of 1417 children was taken to study their purchasing habits. Construct the \( 99 \% \) confidence interval for the mean number of toys purchased each year if the sample mean was found to be 7.7 . Assume that the population standard deviation is 1.8. Round your answers to one decimal place.
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To construct a \( 99\% \) confidence interval for the mean number of toys purchased each year, we can use the formula for the confidence interval: \[ \text{Confidence Interval} = \bar{x} \pm Z \left( \frac{\sigma}{\sqrt{n}} \right) \] Where: - \(\bar{x} = 7.7\) (the sample mean) - \(\sigma = 1.8\) (the population standard deviation) - \(n = 1417\) (the sample size) - \(Z\) is the Z-value corresponding to the desired confidence level (for \( 99\% \), \( Z \approx 2.576 \)) Now, calculating the standard error (SE): \[ SE = \frac{\sigma}{\sqrt{n}} = \frac{1.8}{\sqrt{1417}} \approx \frac{1.8}{37.5} \approx 0.048 \] Next, we find the margin of error (ME): \[ ME = Z \times SE \approx 2.576 \times 0.048 \approx 0.123 \] Now we can construct the confidence interval: \[ \text{Lower Limit} = 7.7 - 0.123 \approx 7.577 \quad (rounded \to 7.6) \] \[ \text{Upper Limit} = 7.7 + 0.123 \approx 7.823 \quad (rounded \to 7.8) \] Thus, the \( 99\% \) confidence interval for the mean number of toys purchased each year is approximately \( (7.6, 7.8) \).