In: Statistics and Probability
We wish to estimate what percent of adult residents in a certain
county are parents. Out of 400 adult residents sampled, 52 had
kids. Based on this, construct a 99% confidence interval for the
proportion p of adult residents who are parents in this
county.
Provide the point estimate and margin of error. Give your answers
as decimals, to three places.
Solution :
n = 400
x = 225
= x / n = 52 / 400 = 0.130
1 - = 1 - 0.130 = 0.870
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
Margin of error = E = Z / 2 * (( * (1 - )) / n)
= 2.576 * (((0.130 * 0.870) / 400)
= 0.043
A 99 % confidence interval for population proportion p is ,
- E < P < + E
0.130 - 0.043 < p < 0.130 + 0.043
0.087 < p < 0.173