In: Statistics and Probability
We wish to estimate what percent of adult residents in a certain county are parents. Out of 400 adult residents sampled, 360 had kids. Based on this, construct a 95% confidence interval for the proportion, p, of adult residents who are parents in this county.
Solution :
Given that,
n = 400
x = 360
Point estimate = sample proportion = = x / n = 360/400=0.9
1 - = 1-0.9 =0.1
At 95% confidence level the z is ,
= 1 - 95% = 1 - 0.95 = 0.05
/ 2 = 0.05 / 2 = 0.025
Z/2 = Z0.025 = 1.96 ( Using z table )
Margin of error = E = Z/2 * ((( * (1 - )) / n)
= 1.96 (((0.9*0.1) /400 )
E = 0.029
A 95% confidence interval for population proportion p is ,
- E < p < + E
0.9-0.029 < p < 0.9+0.029
0.871< p < 0.929