The Food Marketing Institute shows that 16% of households spend more than $100 per week on groceries. Assume the population proportion is p = 0.16 and a sample of 800 households will be selected from the population. Use z-table. Calculate (p), the standard error of the proportion of households spending more than $100 per week on groceries (to 4 decimals). What is the probability that the sample proportion will be within +/- 0.02 of the population proportion (to 4 decimals)? What is the probability that the sample proportion will be within +/- 0.02 of the population proportion for a sample of 1,800 households (to 4 decimals)?

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Estimation

A new framework of data analysis where the new statistical methods are used for interpreting the results and analyzing the data is known as estimation in statistics.