Random samples of size n = 85 were selected from a binomial population with p = 0.8. Use the normal distribution to approximate the following probability. (Round your answer to four decimal places.)
P(p̂ < 0.70) =
Solution
Given that,
p = 0.8
1 - p = 1 - 0.8 = 0.2
n = 85
= p = 0.8
= [p ( 1 - p ) / n] = [(0.8 * 0.2) / 85 ] = 0.0434
P( < 0.70)
= P[( - ) / < (0.70 - 0.8 ) / 0.0434 ]
= P(z < -2.30)
Using z table,
= 0.0107
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