Chapter 5
Examples
Example 1
A certain dimension is measured on four successive items coming off a
production line. This sample gives 𝑥ҧ = 2.384 and 𝑠 = 0.048.
a) on the basis of this sample, what is the 95% confidence interval for the
population mean?
b) If instead of estimating the standard deviation from the sample, we knew the
true standard deviation was 0.048, what then would be the 95% confidence
interval for the population mean?
Example 2
Suppose that a market research firm is hired to estimate the percent of
adults living in a large city who have cell phones. Five hundred randomly
selected adult residents in this city are surveyed to determine whether they
have cell phones. Of the 500 people sampled, 421 responded yes – they
own cell phones. Using a 95% confidence interval estimate for the true
proportion of adult residents of this city who have cell phones.
Solution
Let X= the number of people in the sample who have cell phones.
X is binomial; people either have a cell phone or they do not.
𝑋 421
𝑝 = 𝑛 = 500 = 0.842
95% CI= 1.96 (z value)
𝑝(1−𝑝) 0.842(1−0.842)
𝑝±𝑧 = 0.842 ± 1.96
𝑛 500
0.810<p<0.874
Example 3
There is a sample of 50 micro-drills with an average lifetime (expressed as
the number of holes drilled before failure) was 12.68 with a standard
deviation of 6.83. suppose as engineer reported a confidence interval of
(11.09, 14.27) but neglected to specify the level. What is the level of this
confidence interval?
Solution
𝑠
𝑋ത ± 𝑧 𝑛
Upper confidence limit of 14.27 therefore satisfies the equation
6.83
14.27=12.68+𝑧𝛼 50 ; 𝑧𝛼 = 1.646
From z table 1.646 approximately 0.05. the level is 100(1-0.05)% or 90%.
Example 4
A random sample of size 10 is to be drawn from a normal distribution with
ത
𝑋−4
mean 4. the Student’s t statistic 𝑡 = 𝑠 is to be computed. What is the
ൗ 10
probability that t>1.833?