In: Statistics and Probability
We wish to estimate what percent of adult residents in a certain
county are parents. Out of 500 adult residents sampled, 345 had
kids. Based on this, construct a 99% confidence interval for the
proportion p of adult residents who are parents in this
county.
Give your answers as decimals, to three places.
__________ <p < _____________
Solution :
Given that,
Point estimate = sample proportion =
= x / n = 345/500=0.69
1 -
= 1-0.69 = 0.31
At 99% confidence level the z is ,
= 1 - 99% = 1 - 0.99 =
0.01
/ 2 = 0.01 / 2 = 0.005
Z/2
= Z0.005 = 2.576 ( Using z table )
Margin of error = E = Z
/ 2 * (
(((
* (1 -
)) / n)
= 2.576* (((0.69*0.31)
/500 )
E = 0.053
A 99% confidence interval for population proportion p is ,
- E < p <
+ E
0.69-0.053 < p < 0.69+0.053
0.637< p < 0.743