Compare the 2 calculations above by means of a diagram

MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
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3.1.1)Given

 X=14.5%

SD=3.4%

N=25

90% CI for population mean is

  1. X.where Z=1.645 at 905 confidence

=14.5±1.645

=14.5±1.12

=(13.38%,15.62%)

We are 90% confident that the actual mean dividend yield lies between 13.38% and 15.62%.

3.1.2)

95% CI is

X±Z where Z

=14.5±1.96.

=14.5±1.33

=(13.17%,15.83%) is the 95% Confidence interval

 

Compare the 2 calculations above by means of a diagram

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