Out of 100 people sampled, 42 had kids. Based on this, construct a 99% confidence interval for the true population proportion of people with kids. Give your answers as decimals, to three places.

Respuesta :

Answer:

The 99% confidence interval for the true population proportion of people with kids is (0.293, 0.547).

Step-by-step explanation:

In a sample with a number n of people surveyed with a probability of a success of [tex]\pi[/tex], and a confidence level of [tex]1-\alpha[/tex], we have the following confidence interval of proportions.

[tex]\pi \pm z\sqrt{\frac{\pi(1-\pi)}{n}}[/tex]

In which

z is the z-score that has a p-value of [tex]1 - \frac{\alpha}{2}[/tex].

Out of 100 people sampled, 42 had kids.

This means that [tex]n = 100, \pi = \frac{42}{100} = 0.42[/tex]

99% confidence level

So [tex]\alpha = 0.01[/tex], z is the value of Z that has a p-value of [tex]1 - \frac{0.01}{2} = 0.995[/tex], so [tex]Z = 2.575[/tex].  

The lower limit of this interval is:

[tex]\pi - z\sqrt{\frac{\pi(1-\pi)}{n}} = 0.42 - 2.575\sqrt{\frac{0.42*0.58}{100}} = 0.293[/tex]

The upper limit of this interval is:

[tex]\pi + z\sqrt{\frac{\pi(1-\pi)}{n}} = 0.42 + 2.575\sqrt{\frac{0.42*0.58}{100}} = 0.547[/tex]

The 99% confidence interval for the true population proportion of people with kids is (0.293, 0.547).