In: Statistics and Probability
An automatic filling machine is used to fill bottles with liquid detergent. A random sample of 20 bottles results in a sample variance of fill volume of s2 = 0.01532 (fluid ounce). If the variance of fill volume is too large, an unacceptable proportion of bottles will be under- or overfilled. We will assume that the fill volume is approximately normally distributed. Determine the 95% upper confidence bound of the variance.
Solution :
Given that,
c = 0.95
s 2= 0.01532
n = 20
At 95% confidence level the 
 is ,
= 1 - 95% = 1 - 0.95 = 0.05
 / 2 = 0.05 / 2 = 0.025

/2,df = 
0.025,18 = 32.85
and
1-
/2,df = 
0.975,18 = 8.91
2L
= 
2
/2,df
= 32.85
2R
= 
21 - 
/2,df = 8.91
The 95% confidence interval for 
2 is,
(n - 1)s2 / 
2
/2
< 
2 < (n - 1)s2 / 
21 - 
/2
( 19 *0.01532) / 32.85 < 
2 < ( 19 * 0.01532 ) / 8.91
0.0089< 
2 < 0.0327
(0.0089 , 0.0327)
The 95% upper confidence bound of the variance is 0.0327
The 95% confidence interval for 
 is,
s 
(n-1) / 
/2,df < 
 < s 
(n-1) / 
1-
/2,df
38
(
19 - 1 ) / 34.81 < 
 < 38
(
19 - 1 ) / 7.01
27.33 < 
 < 97.57
( 27.33 , 97.57 )