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Strategic business planning is required for the successful transfer of control between generations in family-owned companies. However, a survey of 251 privately held family firms whose annual turnover exceeded one million dollars it was found that 112 had no strategic business plan. Assuming that simple random sampling was employed to determine the sample for the survey, estimate with 85% confidence the proportion of family-owned companies operating without strategic business plans. Give the lower limit only and report your answer correct to three decimal places.
ANZ Bank’s Wealth Management Division conducted a survey of the value of the new business created over the last month in millions of dollars. From 20 responses, the mean and standard deviation were found to be $9.791 and $0.901 million respectively. Assuming the data were collected through a random sample and that the value of new business is approximately normally distributed, calculate a 98% confidence interval estimate of the average value of new business per month in millions of dollars. State only the upper bound correct to three decimal places.
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