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Hard Times: In June 2010, a random poll of 800 working men found that 9% had...

Hard Times: In June 2010, a random poll of 800 working men found that 9% had taken a second job to help pay the bills

A) Estimate the true percentage of men that are taking on second jobs y constructing a 95% confidence interval

B) A pundit on TV news show claimed that only 6% of working men had a second job. Use your confidence interval to test whether his claim is plausible given the poll data.

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Answer #1

A)

95% confidence interval for p is

- Z/2 * sqrt [ ( 1 - ) / n ] < p < + Z/2 * sqrt [ ( 1 - ) / n ]

0.09 - 1.96 * sqrt [ 0.09 * ( 1 - 0.09) / 800] < p < 0.09 + 1.96 * sqrt [ 0.09 * ( 1 - 0.09) / 800]

0.070 < p < 0.110

95% CI is ( 0.070 , 0.110 )

B)

Since 0.06 not contained in confidence interval we have sufficient evidence to reject the claim that 6% of working

men had a second job.

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