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Confidence Intervals
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.
2) Suppose that you wish to obtain a confidence interval for a population mean. Under the conditions 2)
described below, should you use the z-interval procedure, the t-interval procedure, or neither?
Determine the critical value z α/2 that corresponds to the given level of confidence.
3) 88% 3)
A) 1.555 B) 0.81 C) 1.21 D) 1.175
7) Find the critical t-value tα/2 that corresponds to 90% confidence and n = 15. 7)
A) 2.145 B) 1.345 C) 2.624 D) 1.761
9) A retired statistician was interested in determining the average cost of a $200,000.00 term life 9)
insurance policy for a 60-year-old male non-smoker. He randomly sampled 65 subjects
(60-year-old male non-smokers) and constructed the following 95 percent confidence interval for
the mean cost of the term life insurance: ($850.00, $1050.00). State the appropriate interpretation
for this confidence interval. Note that all answers begin with "We are 95 percent confidence that…"
A) The average term life insurance costs for all 60-year-old male non-smokers falls between
$850.00 and $1050.00
B) The average term life insurance cost for sampled 65 subjects falls between $850.00 and
$1050.00
C) The term life insurance cost of the retired statistician's insurance policy falls between $850.00
and $1050.00
D) The term life insurance cost for all 60-year-old male non-smokers' insurance policies falls
between $850.00 and $1050.00
10) A marketing research company is estimating the average total compensation of CEOs in the 10)
service industry. Data were randomly collected from 18 CEOs and the 98% confidence interval for
the mean was calculated to be ($2,181,260, $5,836,180). What additional assumption is necessary
for this confidence interval to be valid?
A) The distribution of the sample means is approximately normal.
B) The population of total compensations of CEOs in the service industry is approximately
normally distributed.
C) The sample standard deviation is less than the degrees of freedom.
D) None. The Central Limit Theorem applies.
Use the given degree of confidence and sample data to construct a confidence interval for the population mean μ.
Assume that the population has a normal distribution.
13) n = 10, x = 9.8, s = 2.4, 95 percent 13)
A) 8.08 < μ < 11.52 B) 8.11 < μ < 11.49 C) 8.09 < μ < 11.51 D) 8.41 < μ < 11.19
14) Thirty randomly selected students took the calculus final. If the sample mean was 92 and the 14)
standard deviation was 9.4, construct a 99 percent confidence interval for the mean score of all
students.
A) 89.08 < μ < 94.92 B) 87.27 < μ < 96.73
C) 87.29 < μ < 96.71 D) 87.77 < μ < 96.23
15) The football coach randomly selected ten players and timed how long each player took to perform 15)
a certain drill. The times (in minutes) were:
13.2 5.1 7.5 8.0 12.7
7.6 13.8 14.5 7.7 10.5
Determine a 95 percent confidence interval for the mean time for all players.
A) 12.30 < μ < 7.82 B) 7.82 < μ < 12.30 C) 7.72 < μ < 12.40 D) 12.40 < μ < 7.72
Find the confidence interval specified. Assume that the population is normally distributed.
16) A random sample of 30 households was selected from a particular neighborhood. The number of 16)
cars for each household is shown below. Estimate the mean number of cars per household for the
population of households in this neighborhood. Give the 95% confidence interval.
2 0 1 2 3 2 1 0 1 4
1 3 2 0 1 1 2 3 1 2
1 0 0 3 2 2 2 1 0 2
A) 1 to 2 cars B) 1.5 to 1.9 cars C) 1.1 to 1.9 cars D) 1.3 to 1.7 cars
SHORT ANSWER. Write the word or phrase that best completes each statement or answers the question.
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.
21) What type of car is more popular among college students, American or foreign? One hundred 21)
fifty-nine college students were randomly sampled and each was asked which type of car he or
she prefers. A computer package was used to generate the printout below for the proportion of
college students who prefer American automobiles.
22) What type of car is more popular among college students, American or foreign? One hundred 22)
fifty-nine college students were randomly sampled and each was asked which type of car he or
she prefers. A computer package was used to generate the printout below of a 90% confidence
interval for the proportion of college students who prefer American automobiles.
Based on the interval above, do you believe that 21% of all college students prefer American
automobiles?
A) No, and we are 90% confident of it. B) Yes, and we are 100 %sure of it.
C) No, and we are 100% sure of it. D) Yes, and we are 90% confident of it.
23) A newspaper reports on the topics that teenagers most want to discuss with their parents. 23)
The findings, the results of a poll, showed that 46% would like more discussion about the
family's financial situation, 37% would like to talk about school, and 30% would like to talk
about religion. These and other percentages were based on a national sampling of 505
teenagers. Estimate the proportion of all teenagers who want more family discussions
about religion. Use a 99% confidence level.
24) A random sample of 50 employees of a large company was asked the question, "Do you 24)
participate in the company's stock purchase plan?" The answers are shown below.
Use a 90% confidence interval to estimate the proportion of employees who participate in
the company's stock purchase plan.
26) In a survey of 10 musicians, 2 were found to be left-handed. Is it practical to construct the 26)
90% confidence interval for the population proportion, p? Explain.
27) A survey of 300 fatal accidents showed that 123 were alcohol related. Construct a 98% 27)
confidence interval for the proportion of fatal accidents that were alcohol related.
MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question.
28) A survey of 2450 golfers showed that 281 of them are left-handed. Construct a 98% confidence 28)
interval for the proportion of golfers that are left-handed.
A) (0.683, 0.712) B) (0.369, 0.451) C) (0.203, 0.293) D) (0.100, 0.130)
1) C
2) C
3) A
4) D
5) B
6) D
7) B
8) A
9) A
10) B
11) B
12) B
13) A
14) B
15) C
16) C
17) For confidence coefficient .95, 1 - α = .95 ⇒ α = 1 - .95 = .05.
α/2 = .05/2 = .025. ⇒ zα/2 = z.025 = 1.96. The 95% confidence interval is:
s 2.3
x ± zα/2 = 24.5 ± 1.96 ⇒ 24.5 ± .498 = (24.002, 24.998)
n 82
18) ($186.33, $197.67)
19) ($513.17, $860.33)
20) C
21) A
22) A
23) For confidence coefficient .99, 1 - α = .99 ⇒ α = 1 - .99 = .01.
α/2 = .01/2 = .005.
zα/2 = z.005 = 2.575. The 99% confidence interval for p is:
^^
^ pq .30(.70)
p ± zα/2 ⇒ .30 ± 2.575 ⇒ .30 ± .0525
n 505
^ 32 (.64)(.36)
24) p = = .64; The confidence interval is .64 ± 1.645 ≈ .64 ± .112.
50 50
25) (0.192, 0.274)
^ ^ ^
26) It is not practical to find the confidence interval. It is necessary that np(1 - p) ≥ 10 to insure that the distribution of p be
^ ^
normal. (np(1 - p) = 1.6)
27) (0.344, 0.476)
28) D