In: Statistics and Probability
In a random sample of 17 people, the mean commute time to work was 30.1 minutes and the standard deviation was 7.3 minutes. Assume the population is normally distributed and use a t-distribution to construct a 99% confidence interval for the population mean mu. What is the margin of error of mu? Interpret the results.
Solution :
Given that,
= 30.1
s = 7.3
n = 17
Degrees of freedom = df = n - 1 = 17 - 1 = 16
At 99% confidence level the t is ,
= 1 - 99% = 1 - 0.99 = 0.01
/ 2 = 0.01 / 2 = 0.005
t
/2 df = t0.005,17 = 2.898
Margin of error = E = t/2,df
* (s /
n)
= 2.898 * (7.3 /
17) = 5.13
The 99% confidence interval estimate of the population mean is,
- E <
<
+ E
30.1 - 5.13 <
< 30.1 + 5.13
24.97 <
< 36.23
(24.97 , 36.23)