Lisa decides that she wants to know the 85% confidence interval for a population mean despite originally setting out to find the 90% confidence interval. How will this affect the width and the margin of error of her confidence interval for a population mean? Assume that the population standard deviation is unknown and the population distribution is approximately normal.
Select your answer from the choices below.
Solution:
Assume that the population standard deviation is unknown and the population distribution is approximately normal.
So , we use t distribution.
As confidence level decreases , then the critical t value also decreases .(assuming same sample size)
Then the margin of error also decreases . So that the interval becomes narrower.
1st confidence level is 90%
2nd confidence level is 85%
So , correct option is
The width will decrease, and the margin of error will decrease.
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