What is the probability to get a sample average of 26 or more customers if the manager had not offered the discount?
A small hair salon in Denver, Colorado, averages about 20 customers on weekdays with a standard deviation of 7. It is safe to assume that the underlying distribution is normal. In an attempt to increase the number of weekday customers, the manager offers a $4 discount on 6 consecutive weekdays. She reports that her strategy has worked because the sample mean of customers during this 6-weekday period jumps to 26. (You may find it useful to reference the z table.)
a. What is the probability to get a sample average of 26 or more customers if the manager had not offered the discount? (Do not round intermediate calculations. Round final answer to 4 decimal places.)
b. Do you feel confident that the manager’s discount strategy has worked?
multiple choice
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No, there is good chance (more than 5%) of getting 26 or more customers without the discount.
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No, there is only a small chance (less than 5%) of getting 26 or more customers without the discount.
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Yes, there is good chance (more than 5%) of getting 26 or more customers without the discount.
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Yes, there is only a small chance (less than 5%) of getting 26 or more customers without the discount.
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