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Introductory Business Statistics 2e IAG Chapter 8 Complete Study Guide 2025/ 2026

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Master Chapter 8 of Introductory Business Statistics 2e with solution using this comprehensive IAG study guide. Access step-by-step exercises, practice problems, and key concepts to improve understanding and excel in exams.

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INSTRUCTOR ANSWER GUIDE

OpenStax Introductory Business Statistics 2e
Instructor Answer Guide

,OpenStax Introductory Business Statistics 2e
Instructor Answer Guide

CHAPTER 8: CONFIDENCE INTERVALS
Exercise 1. A hospital is trying to cut down on emergency room wait times. It is
interested in the amount of time patients must wait before being
called back to be examined. An investigation committee randomly
surveyed 70 patients. The sample mean was 1.5 hours with a sample
standard deviation of 0.5 hours.

Identify the following:
a. x = ____
b. sx = ____
c. n = ____
d. n – 1 = ____

Solution
a. x = 1.5
b. sx = 0.5
c. n = 70
d. n – 1 = 69

Exercise 2.
A hospital is trying to cut down on emergency room wait times. It is
interested in the amount of time patients must wait before being
called back to be examined. An investigation committee randomly
surveyed 70 patients. The sample mean was 1.5 hours with a sample
standard deviation of 0.5 hours.
Define the random variables X and X , in words.

Solution
X is the number of hours a patient waits in the emergency room
before being called back to be examined. X is the mean wait time of
70 patients in the emergency room.

Exercise 3.
A hospital is trying to cut down on emergency room wait times. It is
interested in the amount of time patients must wait before being
called back to be examined. An investigation committee randomly
surveyed 70 patients. The sample mean was 1.5 hours with a sample
standard deviation of 0.5 hours.
Which distribution should you use for this problem?

Solution
Student’s t: t69



2
January 27, 2026

,OpenStax Introductory Business Statistics 2e
Instructor Answer and Solution Guide
Chapter 8: Confidence Intervals


Exercise 4
A hospital is trying to cut down on emergency room wait times. It is
interested in the amount of time patients must wait before being
called back to be examined. An investigation committee randomly
surveyed 70 patients. The sample mean was 1.5 hours with a sample
standard deviation of 0.5 hours.
Construct a 95% confidence interval for the population mean time
spent waiting. State the confidence interval, sketch the graph, and
calculate the error bound.

Solution CI: (1.3808, 1.6192)




Figure 8.12
EBM = 0.12

Exercise 5.
A hospital is trying to cut down on emergency room wait times. It is
interested in the amount of time patients must wait before being
called back to be examined. An investigation committee randomly
surveyed 70 patients. The sample mean was 1.5 hours with a sample
standard deviation of 0.5 hours.
Explain in complete sentences what the confidence interval means.

Solution
We are 95% confident that the population mean waiting time is
between 1.38 hours and 1.62 hours for patients in the emergency
room before getting called back to be examined.

Exercise 6.
One hundred eight Americans were surveyed to determine the
number of hours they spend watching television each month. It was
revealed that they watched an average of 151 hours each month with
a standard deviation of 32 hours. Assume that the underlying
population distribution is normal.
Identify the following:
a. x = ____
b. sx = ____

3
January 27, 2026

, OpenStax Introductory Business Statistics 2e
Instructor Answer Guide


c. n = ____
d. n – 1 = ____

Solution a. x = 151
b. sx = 32
c. n = 108
d. n – 1 = 107

Exercise 7.
One hundred eight Americans were surveyed to determine the
number of hours they spend watching television each month. It was
revealed that they watched an average of 151 hours each month with
a standard deviation of 32 hours. Assume that the underlying
population distribution is normal.
Define the random variable X in words.

Solution X is the number of hours per month an American watches television.

Exercise 8.
One hundred eight Americans were surveyed to determine the
number of hours they spend watching television each month. It was
revealed that they watched an average of 151 hours each month with
a standard deviation of 32 hours. Assume that the underlying
population distribution is normal.
Define the random variable X in words.

Solution
X is the mean number of hours spent watching television per month
from a sample of 108 Americans.

Exercise 9.
One hundred eight Americans were surveyed to determine the
number of hours they spend watching television each month. It was
revealed that they watched an average of 151 hours each month with
a standard deviation of 32 hours. Assume that the underlying
population distribution is normal.
Which distribution should you use for this problem?

Solution Student’s t: t107

Exercise 10.
One hundred eight Americans were surveyed to determine the
number of hours they spend watching television each month. It was
revealed that they watched an average of 151 hours each month with
a standard deviation of 32 hours. Assume that the underlying


4
January 27, 2026

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