Question

A film distribution manager calculates that 3% of the films released are flops.

If the manager is correct, what is the probability that the proportion of flops in a sample of 752 released films would be greater than 4%? Round your answer to four decimal places.

Answer 1

Proportion of films released are flops: p = 3/100 = 0.03

Sample size : n= 752

Sample proportion follows normal distribution with mean = p = 0.03 and standard deviation

probability that the proportion of flops in a sample of 752 released films would be greater than 4% =

Z-score for 0.04 = (0.04 - ) / = (0.04-0.03)/0.0062 = 1.61

From standard normal tables,

P(Z1.61) = 0.9463

probability that the proportion of flops in a sample of 752 released films would be greater than 4% = 0.0537