Question
A manufacturer turns out a product item that is labeled either “defective” or “not defective”. In...
A manufacturer turns out a product item that is labeled either “defective” or “not defective”. In order to estimate the proportion defective, a random sample of 100 items is taken from production, and 10 are found to be defective. Following implementation of a quality improvement program, the experiment is conducted again. A new sample of 100 is taken, and this time only 6 are found to be defective.
(1) Give a 95% confidence interval on p1 − p2, where p1 is the population proportion defective before improvement and p2 is the proportion defective after improvement. Is there information in the confidence interval found in (a) that would suggest that p1 > p2?
(2) Find the 98% confidence interval for p1 using method 1.
(3) Find the 96% confidence interval for p2 using method 2
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