In a random sample of 80 automobile engine crankshaft bearings, 8 have a surface finish that is rougher than specifications allow. Find a 99% confidence interval for ?, the population proportion of crankshaft bearings that have a surface finish that is rougher than specifications allow.
Point estimate = sample proportion = = x / n = 8 / 80 = 0.10
Z/2 = 2.576
Margin of error = E = Z / 2 * (( * (1 - )) / n)
= 2.576 * (((0.10 * 0.90) / 80)
= 0.086
A 99% confidence interval for population proportion p is ,
- E < p < + E
0.10 - 0.086 < p < 0.10 + 0.086
0.014 < p < 0.186
(0.014 , 0.186)
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