Q1) Annual family dental expenses for families of random sample of 10 employees of company are given below. You can suppose the family dental expenses for employees of company are normally distributed.
$450, $390, $550, $140, $690, $600, $250, $330, $490, $810
a) Calculate the mean and standard deviation of sample.
b) Find out point estimate and 95% confidence interval for mean family dental expenses of all employees of company.
c) Interpret confidence interval.
d) How would you communicate this information to Vice-President of Human Resources in non-statistical language.
e) How could this information be used in negotiations with dental insurer of company in setting premiums for next year.