In: Statistics and Probability
In a study of the accuracy of fast food drive-through orders, Restaurant A had 240 accurate orders and 65 that were not accurate. a. Construct a 95% confidence interval estimate of the percentage of orders that are not accurate. b. Compare the results from part (a) to this 95% confidence interval for the percentage of orders that are not accurate at Restaurant B: 0.195less thanpless than0.283. What do you conclude?
Construct a 95% confidence interval. Express the percentages in decimal form.
a) The sample proportion of orders that are not accurate is computed here as:
= Number of inaccurate orders / Total orders
= 65 / (65 + 240)
= 0.2131
From standard normal tables, we have:
P( -1.96 < Z < 1.96) = 0.95
Therefore the confidence interval here is obtained as:
This is the required confidence interval here that is:
(16.71%, 25.91%)
b) As we are given the confidence interval for restaurant B here
as:
( 19.5% , 28.3%)
Therefore as there is some overlapping between the 2 restaurants confidence interval, we cannot conclude anything about them.