Data are collected on the fuel economy of 2001 model midsize

Data are collected on the fuel economy of 2001 model midsize cars. The information measured in average miles per gallon (MPG) is summarized below:

Descriptive Statistics: MPG

Variable

Total Count

Mean

StDev

Min

Q1

Median

Q3

Max

MPG

32

26.750

2.874

22.000

24.000

26.500

28.750

33.000

The government wants to impose a ‘gas saver tax incentive\' on those vehicles that get a good gas mileage. What is smallest value for MPG if you want only 25% of the cars to have to receive this tax incentive?

Question 5 options:

A. 24.000 mpg

B. 28.750 mpg

C. 26.750 mpg

D. None of the above

Solution

Answer : A. 24.000 mpg

Because 25% will lead to the first quartile value.