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7.1.14-T Question Help Use the sample data and confidence level given below to complete parts (a) through (d). A drug is used
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Answer #1

Nimber of patients treated using drug to prevent blood clot = n = 4487

Number of patients showing adverse effect of nausea = X = 110

sample proportion is computed as follows

p = \frac{X}{n} = \frac{110}{4487} = 0.025

The critical value for α=0.05 is

zc​(upper) = 1.96 using excel formula =NORM.S.INV(0.975)

zc​(lower) = -1.96 using excel formula =NORM.S.INV(0.025)

So we use absolute value of z while calculating confidence interval and the corresponding confidence interval is computed as

CI = \left ( p - z_{c}\sqrt{\frac{p(1-p)}{n}}, p + z_{c}\sqrt{\frac{p(1-p)}{n}} \right )

CI = \left ( 0.025 - 1.96\sqrt{\frac{0.025(1-0.025)}{4487}}, 0.025 + 1.96\sqrt{\frac{0.025(1-0.025)}{4487}} \right )

CI = \left ( 0.025 - 0.0046, 0.025 + 0.0046} \right )

CI = \left ( 0.0204, 0.0296} \right )

The 95% confidence interval for the population proportion is  0.0204<p<0.0296, which indicates that we are 95% confident that the true population proportion of patients showing adverse effect of nausea is contained by the interval (0.0204, 0.0296).

Margin of error is

E = z_{c}\sqrt{\frac{p(1-p)}{n}}

E = 1.96\sqrt{\frac{0.025(1-0.025)}{4487}}

E = 0.0046 \cong 0.005

So margin of error is E = 0.005(Round to three decimal places)

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