Question

A confidence interval for a population mean is a region around the sample mean that we are fairly sure or confident in this case, that this interval contains a population mean. This is the confidence level. This level is a percentage of how confident we are that the interval contains the population mean. The car mileage case in the chapter is one common example of a confidence interval, which shows strong evidence that the mean EPA city and highway miles for the new model meets the tax credit standard of 31 mpg. When statistically estimating possible outcomes this level of interval is extremely important especially if you plan on making a predication and calling an election result for example based on a 95% confidence interval, with a margin of error of 5% as another example. Please provide another example of a confidence interval including how it is used in the real world listing also a pro and a con associated with it

Answer 1

Suppose the weight of a certain item produced in a factory is fix as 1000gm. It is very important to

keep the weight of an item is very close to 1000 gm for cunsumer and producer point of view. If the

weight is less than 1000 gm then the customers are unsatisfied may cause the reduction in demand of

that intem . And if the weight is greater than 1000gm the production cost of that item may be

unnecesarily high. So that the weight of the items produced in the factory must be very closed to

1000gm.

For this case we can construct the confidence interval of the mean weight of the

items by taking the desire number of samples from the items produced in the factory.