Solution:
Given: The mayor of a small city has suggested that the state locate a new prison there, arguing that the construction project and resulting jobs will be good for the economy.
n = sample size = 183
x = Number of people favor of the prison project.
We have to find 95% confidence interval for true proportion of residents of that city favor of the prison project.
Formula:
where
Find Area = ( 1 + c ) / 2 = ( 1 + 0.94) /2 = 1.94 / 2 = 0.9700
Look in z table for Area = 0.9700 or its closest area and find z value
Area 0.9699 closest to 0.9700 and it corresponds to 1.8 and 0.08
thus Zc = 1.88
Thus
Thus
Thus we are 94% confident that the true proportion of residents of that city favor of the prison project is between: 0.1173 to 0.2215 that is between 11.73% to 22.15%.
Since limits of this confidence interval are less than 50%, there is not majority of public support for the mayor's initiative.
Assignment for Sections 7.3 - 7.4 1) The mayor of a small city has suggested that...
1) The mayor of a small city has suggested that the state locate a new prison there, arguing that the construction project and resulting jobs will be good for the economy. A total of 183 residents show up for a public hearing on the proposal, and a show of hands finds only 31 in favor of the prison project. Construct a 94% confidence interval for the true proportion of residents of that city who favor the prison project, and write...