A simple random sample of 1600 persons is taken to estimate the percentage of Democrats among 25000 eligible voters in a certain town. It turns out that 856 people in the sample are Democrats. We can be 95 percent confident that between percent and percent of the voters are Democrats.
Solution :
Given that,
n = 1600
x = 856
Point estimate = sample proportion = = x / n = 856 / 1600 = 0.535
1 - = 0.465
Z/2 = 1.96
Margin of error = E = Z / 2 * (( * (1 - )) / n)
= 1.96 * (((0.535 * 0.465) / 1600)
= 0.024
A 95% confidence interval for population proportion p is ,
- E < p < + E
0.535 - 0.024 < p < 0.535 + 0.024
0.511 < p < 0.559
We can be 95 percent confident that between 51.1% and 55.9% of the voters are Democrats .
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