Lab 5
Lab 5
LEARNING OBJECTIVES :
1.3. Be able to explain basic standard confidence intervals (90%, 95% and
99%)
1.4. Be able to explain the difference between Standard Error and Margin
of Error and its application in real world problems
QUESTION 1 :
A random sample of 100 items is taken, producing a sample mean of 49. The
population SD is 4.49. Construct a 95% confidence interval to estimate the
population mean. Interpret this interval.
Confidence Interval: Interval around sample mean which signifies that it contains the true
population mean for a specific confidence level.
N = 100
Sample Mean, 𝑥 = 49
𝜎
𝐶. 𝐼. = 𝑥 ± 𝑧 ∗
√𝑛
4.49 4.49
𝐶. 𝐼. = (49 − 1.96 ∗ , 49 + 1.96 ∗ ) = (48.2,49.7)
√100 √100
Therefore, if we repeatedly draw several samples with sample size n=100, there is
0.95 probability (95%) that the C.I. (48.2, 49.7) will contain the true value of the
population mean.
QUESTION 2 :
N = 35
𝜎
𝐶. 𝐼. = 𝑥 ± 𝑧 ∗
√𝑛
0.9 0.9
𝐶. 𝐼.𝛼=0.05 = (2.364 − 1.96 ∗ , 2.364 + 1.96 ∗ ) = (2.06,2.66)
√35 √35
0.9
99% confidence interval, z = ± 2.575829𝐶. 𝐼.𝛼=0.01 = (2.364 − 2.58 ∗ , 2.364 + 2.58 ∗
√35
0.9
) = (1.97,2.75)
√35
QUESTION 3 :
An airline transports over 10,000 passengers daily, and the airline is curious what
proportion of their passengers use mobile boarding passes instead of paper passes.
They take an Simple Random Sampling (SRS) of 80 passengers and find that 60 of
them use mobile boarding passes. Based on this sample, construct a 95%
confidence interval for the proportion of passengers who use mobile boarding
passes?
Considering the airline wants passengers to use a mobile boarding pass instead of
paper. There were 60 successes and 20 failures.
p = 60 / 80 = 0.75
q = 1 - p = 0.25
0.75(1−0.75)
𝐶. 𝐼.𝛼=0.05 = (0.75 ± 1.96 ∗ √ ) = (0.655,0.845)
80
CI for the proportion of mobile pass users is (0.655 * 10000, 0.845*10000) = (6550,
8450)
QUESTION 4 :
QUESTION 5:
In an exit poll survey, a random sample of 1000 people were asked to predict which
party would come to power in the elections (they vote). 48% of the sample said
Party A. Compute the margin of error at 95% Confidence level. If I want to have the
margin of error to be at 0.5% (at the same 95% C L), what should be the sample size
for the survey (z-value =1.96)
0.48∗0.52
Margin of Error = ZCL* SE = 1.96* √ => 1.96 * 0.016 = 0.03 ~ 3%
1000
0.48∗0.52
0.01= 1.96*√ => n= (1.96*1.96*.48*.52)/0.0001 = 9588.6 ~ 9589.
𝑛