Question

Underwater mortgages ~ A mortgage is termed “underwater” if the amount owed is greater than the value of the property that is mortgaged. Using a 2010 Rasmussen poll, investigators calculated a 95% confidence interval for the actual proportion of homeowners in US that have mortgages that were underwater. The confidence interval is given by (0.3249, 0.3809). What is the sample proportion? Give the exact answer as a decimal.

Answer 1

Solution :

Point estimate =sample proportion= $\hat p$ = (Lower confidence interval + Upper confidence interval ) / 2

Point estimate=sample proportion = $\hat p$ = (0.3249+0.3809) / 2=0.3529

sample proportion = $\hat p$ = =0.3529