2. Incorrect.  The answer is true. The numbers of samples of size 25 which could be obtained theoretically from a group of 3500 students with replacement are (3500)25 and 3500C25, which are much larger than 80. Hence we do not get a true sampling distribution of means but only an experimental sampling distribution. Nevertheless, since the number of samples is large, there should be close agreement between the two sampling distributions. Hence the expected mean and standard deviation would be close to those of the theoretical distribution. Thus we have

μsample mean=μ=67.0 inches and ssample mean=s/(n)0.5=3/(25)0.5=0.6 inches.