In: Statistics and Probability
Suppose that the population of the scores of all high school seniors that took the SAT-M (SAT Math) test this year follows a Normal Distribution with mean µ and standard deviation σ = 100. You read a report that says, “On the basis of a simple random sample of 100 high school seniors that took the SAT-M test this year, a confidence interval for µ is 512.00 ± 19.6.” If this is true, then the confidence level for this interval is: a. 90% b. 95% c. 99% d. over 99.9%
Solution:
Given ,
n = 100
σ = 100
also given a confidence interval for µ is 512.00 ± 19.6
Confidence interval for µ is given by sample mean ± margin of error
So , we can write ,
margin of error = 19.6
But, margin of error = /2 * ( / n )
19.6 = /2 * ( / n )
19.6 = /2 * (100 / 100 )
/2 = 1.96
Use z table. See the column of z .See 1.9 and then see the corresponding value at .06
It is 0.975
This is value of 1 - (/2)
1 - (/2) = 0.975
(/2) = 0.025
= 0.05
Now , Confidence level = 1 - = 1 - 0.05 = 0.95 = 95%
Answer : 95%