In: Statistics and Probability
A certain forum reported that in a survey of 2004 American adults, 28% said they believed in astrology.
(a) Calculate a confidence interval at the 99% confidence level for the proportion of all adult Americans who believe in astrology. (Round your answers to three decimal places.) ,
Solution :
Given that,
n = 2004
Point estimate = sample proportion = 
 = 28%=0.28
1 - 
  = 1- 0.28 =0.72
At 99% confidence level the z is ,
  = 1 - 99% = 1 - 0.99 =
0.01
/ 2 = 0.01 / 2 = 0.005
Z
/2
= Z0.005 = 2.576 ( Using z table )
  Margin of error = E = Z
/2   *
((((
* (1 - 
)) / n)
= 2.576* (((0.28*0.72)
/2004 )
E = 0.026
A 99% confidence interval for population proportion p is ,
- E < p < 
 + E
0.28- 0.026 < p < 0.28+0.026
0.254< p < 0.306