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A sample of 21 items was taken, and 4 of the units were found to be...

A sample of 21 items was taken, and 4 of the units were found to be green. What is the 98% upper confidence limit (one-sided) for the percentage of green items?

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Answer #1

Solution :

Given that,

Point estimate = sample proportion = = x / n = 4 / 21 = 0.1905

Z/2 = 2.054

Margin of error = E = Z * (( * (1 - )) / n)

= 2.054 * (((0.1905 * 0.8095) / 21)

= 0.176

The 98% upper confidence limit (one-sided) for the percentage of green items is,

+ E = 0.1905 - 0.176 = 0.0145 = 1.45%

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