In: Statistics and Probability
In a clinical trial, 50 patients who received a new medication are randomly selected. It was found that 10 of them suffered serious side effects from this new medication. let p denote the population proportion of patients suffered serious side effects from this new medication. The 90% confidence interval for p is about
Solution :
Given that,
n = 50
x = 10
Point estimate = sample proportion = = x / n = 10 / 50=0.2
1 - = 1-0.2 =0.8
At 90% confidence level
= 1 - 90%
= 1 - 0.90 =0.10
/2
= 0.05
Z/2
= Z0.05 = 1.645 ( Using z table )
Margin of error = E Z/2 *(( * (1 - )) / n)
= 1.645 *((0.2*0.8) /50 )
E = 0.093
A 90% confidence interval p is ,
- E < p < + E
0.2-0.093 < p < 0.2+0.093
0.107< p < 0.293