Question

Alison, the owner of a regional chain of pizza stores, is trying to decide whether to add calzones to the menu. She conducts a survey of 700 people in the region and asks whether they would order calzones if they were on the menu. 46 people responded “yes.” Create a 90% confidence interval for the proportion of people in the region who would order calzones if they were on the menu.Round your answer to four decimal places.

Answer 1

We have given,                  
                  
x=46              
n=700              
Estimate for sample proportion=   0.0657      
Level of significance is =1-0.90=0.1          
Z critical value(using Z table)=1.645          
                  
Confidence interval formula is                  


=(0.0503,0.0811)
                  
Lower limit for confidence interval=0.0503      
                  
Upper limit for confidence interval=0.0811