Recall that a bank manager has developed a new system to reduce the time custome

Question

Recall that a bank manager has developed a new system to reduce the time customers spend waiting to be served by tellers during peak business hours. The mean waiting time during peak business hours under the current system is roughly 9 to 10 minutes. The bank manager hopes that the new system will have a mean waiting time that is less than six minutes. The mean of the sample of 100 bank customer waiting times is 1formula2.mml = 5.43. If we let µ denote the mean of all possible bank customer waiting times using the new system and assume that equals 2.44: What is the 99% confidence interval?

Explanation / Answer

here std error of mean =std deviation/(n)1/2 =2.44/(100)1/2 =0.244

for 99% CI ; critical value of z =2.5758

therefore 99% confidence interval for mean waiting time =sample mean -/+ z*std error =5.43-/+2.5758*0.244

=4.8015 to 6.0585

please revert for any clarification

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