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Information online (8.2,10.1)A random digit dialing sample of 2092adults found that 1318 used the Internet.45Of the users, 1041said that they expect businesses to have Web sites that give product information; 294of the 774nonusers said this.

(a) Construct and interpret a 95%confidence interval for the proportion of all adults who use the Internet.

(b) Construct and interpret a 95% confidence interval to compare the proportions of users and nonusers who expect businesses to have Web sites

Short Answer

Expert verified

a). 95%confidence interval to estimate the true differences in the proportion of users and non-users who expect business to have Web sites is (0.60931,0.65069).

b). 95% confidence interval to estimate the true differences in the proportion of users and non-users who expect business to have Web sites is (0.3694,0.4506).

Step by step solution

01

Part (a) Step 1: Given Information

n=2092,

x=1318

Where nis number of adults.

And xis the number users who used the internet.

02

Part (a) Step 2: Explanation

The formula for 95%confidence interval for true difference in the population proportion Pis as follows:

p^±Zα/2p^(1-p^)n

Where p^is sample proportion of users use internet.

p^=xn

For the given problem pare obtained as below:

localid="1650370085599" p^=13182092

=0.6300

The critical value of Zat 5%level of significance is localid="1650370192109" Zα/2=Z0.025

=1.96

(0.6300)±1.96(0.6300)(1-0.6300)2092

0.63±0.02069

03

Part (b) Step 1: Given Information

n1=1318,

x1=1041

n2=774,

x2=294

Where n1&n2are number of users and non-users.

Also x1&x2are number users who expect business to have websites and the number of non-users who expect business to have website respectivelv.

04

Part (b) Step 2: Explanation

The formula for 95%confidence interval for true difference in the population proportion P1-P2is as follows:

p1^-p2^±Za/2p1^1-p1^n1+p2^1-p2^n2

Where p1^&p2^are sample proportions.

localid="1650370283641" p1^=x1n1and

p2^=x2n2

For the given problem p1^&p2^are obtained as below:

localid="1650370304988" p1^=10411318

=0.7898

localid="1650370333928" p2^=294774

=0.3798

The critical value of Zat 5%level of significance is localid="1650370356144" Zα/2=Z0.025

=1.96

05

Part (b) Step 3: Explanation

Therefore, from the formula the confidence interval will be,(0.7898-0.3798)±1.96(0.7898)(1-0.7898)1318+(0.3798)(1-0.3798)774

0.41±0.0406.

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