Nestle Philippines wants to estimate the average annual milk consumption in a province. A random sample of 16 people resulted in an average annual consumption to be 60 gallons with a standard deviation of 20 gallons. Assume that the population distribution is normal. a) What is the value of the population mean? What is the best estimate for this value? b) Explain why we need to use the t distribution. What assumption(s) do we need to make? c) For a 90% confidence interval, what is the value of t? d) Develop the 90% confidence interval for the population mean. Interpret your results. Interpretation: e) Would it be reasonable to conclude that the population mean is 63 gallons?

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