Question

Independent random samples were taken of male and female members of University Entrepreneurship Club. These members were considering starting a business. Of 450 members, 150 actually started a business venture. a. Estimate the value of the population proportion. (Round your answers to 3 decimal places.) Population proportion b. Develop a 98% confidence interval for the population proportion. Confidence interval and

Answer 1

(a) The population proportion = 150 / 450 = 0.333

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(b) The Z critical (2 tail) for $\alpha$ = 0.02, is 2.326

The Confidence Interval is given by $\hat{p} \pm ME$ , where

p(1 - i) ME Zcritical * 2.326 * 0.333 * 0.667 450 0.052 n

The Lower Limit = 0.333 - 0.052 = 0.281

The Upper Limit = 0.333 + 0.052 = 0.385

The 95% Confidence Interval is 0.281 and 0.385