In: Statistics and Probability
We wish to estimate what percent of adult residents in a certain
county are parents. Out of 100 adult residents sampled, 74 had
kids. Based on this, construct a 99% confidence interval for the
proportion p of adult residents who are parents in this
county.
Express your answer in tri-inequality form. Give your answers as
decimals, to three places.
< p < Express the same answer using the point
estimate and margin of error. Give your answers as decimals, to
three places.
Solution :
Given that,
n = 100
x = 74
Point estimate = sample proportion = = x / n = 74/100 = 0.740
1 - = 1 -0.740 = 0.260
At 99% confidence level
= 1-0.99% =1-0.99 =0.01
/2
=0.01/ 2= 0.005
Z/2
= Z0.005 = 2.576
Z/2 = 2.576
Margin of error = E = Z / 2 * (( * (1 - )) / n)
= 2.576 * ((0.74*(0.26) /100 )
= 0.113
A 99% confidence interval for population proportion p is ,
- E < p < + E
0.740 -0.113 < p < 0.740+0.11
0.627< p < 0.853
(0.627 ,0.853 )