Fowler Mullins

09/14/2023 · Senior High School

1. A 2011 survey of low and middle income households conducted by STASA showed that consumers aged 65 years and older had an average credit card debt of R10235 and consumers in the 50 to 64 years age group had an average credit card debt of R9342 at the time of the survey. Suppose that these averages were based on random samples of 1200 and 1400 people respectively. Further assume that the population standard deviation for the two groups were R2800 and R2500 respectively. a. What is the point estimate of \( \mu_{1}-\mu_{2} \) ? b. Construct a \( 97 \% \) confidence interval for \( \mu_{1}-\mu_{2} \).