Question
In: Statistics and Probability
An insurance company checks police records on 599 accidents selected at random and notes that teenagers...
An insurance company checks police records on 599 accidents selected at random and notes that teenagers were at the wheel in 94 of them. Complete parts a) through d). a) Construct the 95% confidence interval for the percentage of all auto accidents that involve teenage drivers.
Solutions
Expert Solution
Solution :
Given that,
n = 599
x = 94
Point estimate = sample proportion = 
= x / n = 94/599=0.157
1 -
= 1-0.157=0.843
At 95% confidence level
= 1 - 95%
= 1 - 0.95 =0.05
/2
= 0.025
Z/2
= Z0.025 = 1.96 ( Using z table )
Margin of error = E = Z
/ 2 * 
* (1 -
)) / n)
= 1.96 (
E = 0.0291
A 95% confidence interval for population proportion p is ,
- E < p <
+ E
0.157-0.0291 < p < 0.157+0.0291
0.1279< p < 0.1861
The 95% confidence interval for the population proportion p is : 0.1279, 0.1861
orchestra answered 2 years agoRelated Solutions
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