For the last 20 years the price that turkey farmers receive for turkeys has been
ID: 3200002 • Letter: F
Question
For the last 20 years the price that turkey farmers receive for turkeys has been relatively stable (approximately uniformly distributed). In 2011, turkey farmers received an average of 43.3 cents per pound of for their birds. Suppose the standard deviation of all prices received by turkey farmers is 7.5 cents per pound. A random sample of 150 turkey farmers in 2011 is one value of many that form the sampling distribution of sample means. What is the shape of the sampling distribution of sample means?
Skewed right
Uniform
Approximately normal
Normal
Explanation / Answer
Solution:
The shape of the sampling distribution of sample means is normal.
Thus, the sampling distribution of the mean will have a normal shape, even though the population distribution does not. Because we are taking a sample of values from all parts of the population, the mean of the samples will be close to the center of the population distribution.