Question

In a survey of 1118 U.S. adults conducted by the Financial Industry Regulatory Authority, 415 said they always pay their credit cards in full each month.

a) Construct a 95% interval for the population proportion of U.S. adults who pay their credit cards in full each month.

To show work, write out the following:
- The given numbers with their corresponding variables.

- The formula that's used to calculate the confidence interval. Also give a short explanation stating why you chose the formula that you did.

- The built in calculator program that you used to compute your answer.

b) Interpret you confidence interval from (a). Include the following:

- The confidence level.

- The population parameter of interest (in the context of the problem).

- The lower and upper bounds of the C.I., along with the units.

c) Based on your confidence interval from (a), is it true that a majority of U.S. adults always pay their credit cards in full each month? Explain why or why not using a complete sentence.

Answer 1

Total number of adults surveyed is 118