![Essential Statistics](https://www.bartleby.com/isbn_cover_images/9781259570643/9781259570643_largeCoverImage.gif)
Concept explainers
a.
Construct a 95% confidence interval for the proportion of tenth-graders who plan to attend college using Wilson’s method.
a.
![Check Mark](/static/check-mark.png)
Answer to Problem 41E
The 95% confidence interval for the proportion of tenth-graders who plan to attend college using Wilson’s method is
Explanation of Solution
Calculation:
The given information is that,in a certain college 9 said that they planned to go to college after graduatingwhen 15 tenth-graders were asked.
Wilson’s interval:
For constructing a confidence interval the small-sample method is a simple approximation of very complicated interval that is, Wilson’s interval. Consider
Wilson’s confidence interval for p is given by,
Point estimate:
The point estimate
Substitute x as 9 and 15 as n in the formula,
Thus, the point estimate
From the bottom row of Table A.3: Critical Values for the Student’s t Distribution, the critical value
Now, substitute
Thus, the 95% confidence interval for the proportion of tenth-graders who plan to attend college using Wilson’s method is
b.
Construct a 95% confidence interval for the proportion of tenth-graders who plan to attend college using small-sample method.
b.
![Check Mark](/static/check-mark.png)
Answer to Problem 41E
The 95% confidence interval for the proportion of tenth-graders who plan to attend college using small-sample method is
Explanation of Solution
Calculation:
Constructing confidence intervals for a proportion with small samples:
If x represents the number of individuals in a sample of size n that has certain characteristic and p is the population proportion, then
The adjusted sample proportion is,
The confidence interval for p is,
Substitute x as 9 and n as 15 in the formula of adjusted sample proportion,
From the bottom row of Table A.3: Critical Values for the Student’s t Distribution, the critical value
Now, substitute
Thus, the 95% confidence interval for the proportion of tenth-graders who plan to attend college using small-sample method is
c.
Construct a 95% confidence interval for the proportion of tenth-graders who plan to attend college using traditional method.
c.
![Check Mark](/static/check-mark.png)
Answer to Problem 41E
The 95% confidence interval for the proportion of tenth-graders who plan to attend college using traditional method is
Explanation of Solution
Calculation:
Confidence interval:
Software procedure:
Step-by-step software procedure to obtain the confidence interval using MINITAB software is as follows,
- Choose Stat > Basic Statistics > 1-Proportion.
- Choose Summarized data.
- Enter Number of
events as 9 and Number of trials as 15. - Choose Options.
- In Confidence level, enter 95.
- In Alternative, select not equal.
- Click OK in all the dialogue boxes.
Output using MINITAB software is as follows
Thus, the 95% confidence interval for the proportion of tenth-graders who plan to attend college using traditional method is
Want to see more full solutions like this?
Chapter 7 Solutions
Essential Statistics
- Examine the Variables: Carefully review and note the names of all variables in the dataset. Examples of these variables include: Mileage (mpg) Number of Cylinders (cyl) Displacement (disp) Horsepower (hp) Research: Google to understand these variables. Statistical Analysis: Select mpg variable, and perform the following statistical tests. Once you are done with these tests using mpg variable, repeat the same with hp Mean Median First Quartile (Q1) Second Quartile (Q2) Third Quartile (Q3) Fourth Quartile (Q4) 10th Percentile 70th Percentile Skewness Kurtosis Document Your Results: In RStudio: Before running each statistical test, provide a heading in the format shown at the bottom. “# Mean of mileage – Your name’s command” In Microsoft Word: Once you've completed all tests, take a screenshot of your results in RStudio and paste it into a Microsoft Word document. Make sure that snapshots are very clear. You will need multiple snapshots. Also transfer these results to the…arrow_forward2 (VaR and ES) Suppose X1 are independent. Prove that ~ Unif[-0.5, 0.5] and X2 VaRa (X1X2) < VaRa(X1) + VaRa (X2). ~ Unif[-0.5, 0.5]arrow_forward8 (Correlation and Diversification) Assume we have two stocks, A and B, show that a particular combination of the two stocks produce a risk-free portfolio when the correlation between the return of A and B is -1.arrow_forward
- 9 (Portfolio allocation) Suppose R₁ and R2 are returns of 2 assets and with expected return and variance respectively r₁ and 72 and variance-covariance σ2, 0%½ and σ12. Find −∞ ≤ w ≤ ∞ such that the portfolio wR₁ + (1 - w) R₂ has the smallest risk.arrow_forward7 (Multivariate random variable) Suppose X, €1, €2, €3 are IID N(0, 1) and Y2 Y₁ = 0.2 0.8X + €1, Y₂ = 0.3 +0.7X+ €2, Y3 = 0.2 + 0.9X + €3. = (In models like this, X is called the common factors of Y₁, Y₂, Y3.) Y = (Y1, Y2, Y3). (a) Find E(Y) and cov(Y). (b) What can you observe from cov(Y). Writearrow_forward1 (VaR and ES) Suppose X ~ f(x) with 1+x, if 0> x > −1 f(x) = 1−x if 1 x > 0 Find VaRo.05 (X) and ES0.05 (X).arrow_forward
- Joy is making Christmas gifts. She has 6 1/12 feet of yarn and will need 4 1/4 to complete our project. How much yarn will she have left over compute this solution in two different ways arrow_forwardSolve for X. Explain each step. 2^2x • 2^-4=8arrow_forwardOne hundred people were surveyed, and one question pertained to their educational background. The results of this question and their genders are given in the following table. Female (F) Male (F′) Total College degree (D) 30 20 50 No college degree (D′) 30 20 50 Total 60 40 100 If a person is selected at random from those surveyed, find the probability of each of the following events.1. The person is female or has a college degree. Answer: equation editor Equation Editor 2. The person is male or does not have a college degree. Answer: equation editor Equation Editor 3. The person is female or does not have a college degree.arrow_forward
- MATLAB: An Introduction with ApplicationsStatisticsISBN:9781119256830Author:Amos GilatPublisher:John Wiley & Sons IncProbability and Statistics for Engineering and th...StatisticsISBN:9781305251809Author:Jay L. DevorePublisher:Cengage LearningStatistics for The Behavioral Sciences (MindTap C...StatisticsISBN:9781305504912Author:Frederick J Gravetter, Larry B. WallnauPublisher:Cengage Learning
- Elementary Statistics: Picturing the World (7th E...StatisticsISBN:9780134683416Author:Ron Larson, Betsy FarberPublisher:PEARSONThe Basic Practice of StatisticsStatisticsISBN:9781319042578Author:David S. Moore, William I. Notz, Michael A. FlignerPublisher:W. H. FreemanIntroduction to the Practice of StatisticsStatisticsISBN:9781319013387Author:David S. Moore, George P. McCabe, Bruce A. CraigPublisher:W. H. Freeman
![Text book image](https://www.bartleby.com/isbn_cover_images/9781119256830/9781119256830_smallCoverImage.gif)
![Text book image](https://www.bartleby.com/isbn_cover_images/9781305251809/9781305251809_smallCoverImage.gif)
![Text book image](https://www.bartleby.com/isbn_cover_images/9781305504912/9781305504912_smallCoverImage.gif)
![Text book image](https://www.bartleby.com/isbn_cover_images/9780134683416/9780134683416_smallCoverImage.gif)
![Text book image](https://www.bartleby.com/isbn_cover_images/9781319042578/9781319042578_smallCoverImage.gif)
![Text book image](https://www.bartleby.com/isbn_cover_images/9781319013387/9781319013387_smallCoverImage.gif)