In: Statistics and Probability
An NHANES report gives data for 654 women aged 20 to 29 years. The mean BMI for these 654 women was x = 26.8. On the basis of this sample, we are going to estimate the mean BMI μ in the population of all 20.6 million women in this age group. We will assume that the NHANES sample is a SRS from a normal distribution with known standard deviation σ = 7.5
Standard error of mean = = 7.5 / = 0.2932732
Z value for 90%, 95% and 99% confidence interval is 1.645, 1.96 and 2.576 respectively.
Margin of errors for 90%, 95%, and 99% confidence are
1.645 * 0.2932732, 1.96 * 0.2932732 and 2.576 * 0.2932732
0.4824344 , 0.5748155 and 0.7554718
With increase in confidence level, the margin of error increases when the sample size and population standard deviation remain the same.
For n = 100, Standard error of mean = = 7.5 / = 0.75
Margin of error = 1.96 * 0.75 = 1.47
For n = 400, Standard error of mean = = 7.5 / = 0.375
Margin of error = 1.96 * 0.375 = 0.735
For n = 1600, Standard error of mean = = 7.5 / = 0.1875
Margin of error = 1.96 * 0.1875 = 0.3675
The margin of error is highest for n = 100 and lowest for n = 1600.
With increase in sample size, the margin of error decreases when the confidence level and population standard deviation remain the same.