7. The president of a university would like to estimate the proportion of the student population that owns a personal computer. In a sample of 500 students, 420 own a personal computer.

7.1 Find the 99% confidence interval for the proportion of the student population who own a personal computer?
7.2 Find the 95% confidence interval for the proportion of the student population who own a personal computer?
7.3 Find the 90% confidence interval for the proportion of the student population who own a personal computer?
7.4 what is the standard error of the interval of question number 7.1

1 answer

To solve the problems, we first need to determine the sample proportion (p̂) and then calculate the confidence intervals for various confidence levels.

Step 1: Calculate the sample proportion (p̂)

From the sample of 500 students, 420 own a personal computer.

\[ \hat{p} = \frac{x}{n} = \frac{420}{500} = 0.84 \]

Where:

  • \(x = 420\) (number of students who own a personal computer)
  • \(n = 500\) (total number of students in the sample)

Step 2: Calculate the standard error (SE)

The standard error of the sample proportion is calculated using the formula:

\[ SE = \sqrt{\frac{\hat{p}(1 - \hat{p})}{n}} = \sqrt{\frac{0.84(1 - 0.84)}{500}} = \sqrt{\frac{0.84 \times 0.16}{500}} = \sqrt{\frac{0.1344}{500}} \approx \sqrt{0.0002688} \approx 0.0164 \]

Step 3: Find the confidence intervals

We will use the formula for the confidence interval for proportions:

\[ CI = \hat{p} \pm Z \times SE \]

Where \(Z\) is the Z-score corresponding to the desired confidence level.

7.1: 99% Confidence Interval

For a 99% confidence level, \(Z\) is approximately 2.576.

\[ CI = 0.84 \pm 2.576 \times 0.0164 \] \[ CI = 0.84 \pm 0.0423 \] \[ CI = (0.7977, 0.8823) \]

7.2: 95% Confidence Interval

For a 95% confidence level, \(Z\) is approximately 1.96.

\[ CI = 0.84 \pm 1.96 \times 0.0164 \] \[ CI = 0.84 \pm 0.0321 \] \[ CI = (0.8079, 0.8721) \]

7.3: 90% Confidence Interval

For a 90% confidence level, \(Z\) is approximately 1.645.

\[ CI = 0.84 \pm 1.645 \times 0.0164 \] \[ CI = 0.84 \pm 0.0269 \] \[ CI = (0.8131, 0.8669) \]

Summary of Confidence Intervals

  • 99% CI: (0.7977, 0.8823)
  • 95% CI: (0.8079, 0.8721)
  • 90% CI: (0.8131, 0.8669)

7.4: Standard Error for the 99% CI

The standard error calculated earlier (for the 99% CI) is:

\[ SE \approx 0.0164 \]

Thus, the answers are:

  • 7.1: (0.7977, 0.8823)
  • 7.2: (0.8079, 0.8721)
  • 7.3: (0.8131, 0.8669)
  • 7.4: 0.0164