In: Statistics and Probability
A random sample of 100 suspension helmets used by motorcycle
riders and automobile race-car drivers was subjected to an impact
test, and on 36 of these helmets some damage was observed. Using
the traditional method (not plus 4) find a 95% confidence interval
for the true proportion of helmets that would sustain damage in
this testing. Be sure to assess assumptions and interpret the
interval in context.
Solution :
Given that,
n = 100
x = 36
Point estimate = sample proportion = = x / n = 36 / 100 = 0.36
1 -
= 1 - 0.36 = 0.64
At 95% confidence level
= 1 - 95%
=1 - 0.95 =0.05
/2
= 0.025
Z/2
= Z0.025 = 1.960
Margin of error = E = Z
/ 2 *
((
* (1 -
)) / n)
= 1.96 (((0.36
* 0.64) / 100 )
= 0.094
A 95% confidence interval for population proportion p is ,
± E
= 0.36 ± 0.094
=( 0.266, 0.454 )
We are 95% confident that the true proportion of helmets that would sustain damage in this testing between 0.266 and 0.454.