In: Statistics and Probability
2. Use the sample data and confidence level given below to complete parts (a) through (d).
A drug is used to help prevent blood clots in certain patients. In clinical trials, among 4691 patients treated with the drug, 158 developed the adverse reaction of nausea. Construct a 90% confidence interval for the proportion of adverse reactions.
a) Find the best point estimate of the population proportion p.
b) Identify the value of the margin of error E.
E =
c) Construct the confidence interval.
??? <p< ???
d) Write a statement that correctly interprets the confidence interval. Choose the correct answer below.
A. There is a 99% chance that the true value of the population proportion will fall between the lower bound and the upper bound.
B. One has 99% confidence that the interval from the lower bound to the upper bound actually does contain the true value of the population proportion.
C. 99% of sample proportions will fall between the lower bound and the upper bound.
D. One has 99% confidence that the sample proportion is equal to the population proportion.
Solution :
Given that,
n = 4691
x = 158
a)Point estimate = sample proportion = = x / n = 158 / 4691 = 0.034
1 - = 1 - 0.034 = 0.966
At 90% confidence level the z is ,
= 1 - 90% = 1 - 0.90 = 0.10
/ 2 = 0.10 / 2 = 0.05
Z/2 = Z 0.05 = 1.645
b)Margin of error = E = Z / 2 * (( * (1 - )) / n)
= 1.645 * (((0.034*0.966) / 4691)
= 0.004
c) A 90% confidence interval for population proportion p is ,
- E < p < + E
0.034 - 0.004 < p < 0.034 + 0.004
0.030 < p < 0.038
The 90% confidence interval for the population proportion p is : ( 0.030 , 0.038 )
d) A ) There is a 99% chance that the true value of the population proportion will fall between the lower bound and the upper
bound.