Problem

The average amount of money spent on a dinner in Fresno is $\$ 17.00$ with a population standard deviation of $\$ 4.00$. You randomly select 100 diners.
a. What is the probability that one of the diners spent between $\$ 16.32$ and $\$ 18.24$ on his/her dinner?
b. What is the probability that the average amount the 100 diners spent on dinner was between $\$ 16.32$ and $\$ 18.24$ ?

Answer

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Answer

b. The probability that the average amount the 100 diners spent on dinner was between \$16.32 and \$18.24 is approximately \(\boxed{0.954}\).

Steps

Step 1 :Given that the average amount of money spent on a dinner in Fresno is \$17.00 with a population standard deviation of \$4.00. We randomly select 100 diners.

Step 2 :For part a, we need to calculate the z-scores for \$16.32 and \$18.24. The z-score is calculated as \((X - \mu) / \sigma\), where X is the value, \(\mu\) is the mean, and \(\sigma\) is the standard deviation.

Step 3 :Substituting the given values, we get z-scores as -0.17 and 0.31 respectively.

Step 4 :Using the standard normal distribution table, we find the probability that a z-score falls between these two values is approximately 0.189.

Step 5 :For part b, we need to calculate the z-scores for \$16.32 and \$18.24. However, because we are dealing with a sample mean, the standard deviation is divided by the square root of the sample size.

Step 6 :Substituting the given values, we get z-scores as -1.70 and 3.10 respectively.

Step 7 :Using the standard normal distribution table, we find the probability that a z-score falls between these two values is approximately 0.954.

Step 8 :Final Answer: a. The probability that one of the diners spent between \$16.32 and \$18.24 on his/her dinner is approximately \(\boxed{0.189}\).

Step 9 :b. The probability that the average amount the 100 diners spent on dinner was between \$16.32 and \$18.24 is approximately \(\boxed{0.954}\).

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