Question

Define confidence interval. What is the relevancy for understanding data?

Answer 1

We know that,

Confidence interval is a range of values so defined that there is a specified probability that the value of a parameter lies within it.

Or simply it can be defined as,

A Confidence interval is a range of values that likely would contain an unknown population parameter.

The 95% confidence interval means that if we used the same sampling method to select different samples and computed an interval estimate for each sample, we would expect the true population parameter to fall within the interval estimates 95% of the time.

Thank you.