In: Statistics and Probability
A random sample of size 16 from a normal distribution with known population standard deviation � = 3.1 yields sample average � = 23.2.
What probability distribution should we use for our sampling distributions of the means?
a) Normal Distribution
b) T-distribution
c) Binomial Distribution
d) Poisson Distribution
What is the error bound (error) for this sample average for a 90% confidence interval?
What is the 90% confidence interval for the population mean?
Solution :
Given that,
Point estimate = sample mean = = 23.2
Population standard deviation = = 3.1
Sample size = n = 16
a) Normal Distribution
At 90% confidence level the z is ,
= 1 - 90% = 1 - 0.90 = 0.10
/ 2 = 0.10 / 2 = 0.05
Z/2 = Z0.05 = 1.645
Margin of error = E = Z/2* ( /n)
= 1.645 * (3.1 / 16)
= 1.27
At 90% confidence interval estimate of the population mean is,
- E < < + E
23.2 - 1.27 < < 23.2 + 1.27
21.9 < < 24.5
( 21.9 , 24.5 )