In: Statistics and Probability
Out of 400 people sampled, 252 had kids. Based on this, construct a 90% confidence interval for the true population proportion of people with kids. As in the reading, in your calculations: --Use z = 1.645 for a 90% confidence interval --Use z = 2 for a 95% confidence interval --Use z = 2.576 for a 99% confidence interval. Give your answers to three decimals Give your answers as decimals, to three decimal places. [,]
Solution :
Given,
n = 400 ....... Sample size
x = 252 .......no. of successes in the sample
Let denotes the sample proportion.
= x/n = 252/400 = 0.63
Our aim is to construct 90% confidence interval.
c = 0.90
= 1- c = 1- 0.90 = 0.10
/2 = 0.10 2 = 0.05 and 1- /2 = 0.950
= 1.645 (use z table)
Now , the margin of error is given by
E = *
= 1.645 * [ 0.63 *(1 - 0.63)/400]
= 0.0397
Now the confidence interval is given by
( - E) ( + E)
( 0.63 - 0.0397 ) ( 0.63 + 0.0397 )
0.590 0.670
Required 90% Confidence Interval is ( 0.590 , 0.670 )