# Confidence interval

A food testing laboratory in Abu Dhabi has been commissioned to carry out an estimate of the amount of olive oil contained in 1-gallon tins purchased from a range of international olive oil producers. The manufacturers state that the standard deviation of the amount of olive oil is equal to 0.02 gallon. A random sample of 50 tins is selected, and the mean sample amount of olive oil per 1-gallon tin is 0.995 gallon.

A) Construct a 99% confidence interval estimate of the population mean amount of olive oil included in 1-gallon tin.

B) On the basis of these results do you think the retailers have the right to complain to the manufacturers? Why or why not?

C) Construct a 95% confidence interval estimate. How does your answer under b) change?

A) Construct a 99% confidence interval estimate of the population mean amount of olive oil included in 1-gallon tin.

B) On the basis of these results do you think the retailers have the right to complain to the manufacturers? Why or why not?

C) Construct a 95% confidence interval estimate. How does your answer under b) change?

### Correct answer:

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