INTERVAL ESTIMATION EXERCISES

1. Playbill magazine reported that the mean annual household income of its readers is $119,155. Assume this estimate of the mean annual household income is based on a sample of 80 households and based on past studies, the population standard deviation is known to be $30,000. a. Develop a 90% confidence interval estimate of the population mean. b. Develop a 95% confidence interval of the population mean c. Develop a 99% confidence interval estimate of the population mean 2. Sales personnel for Skillings Distributors submit weekly reports listing the customer contacts made during the week. A sample of 65 weekly reports showed a sample mean of 19.5 customer contacts per week. The sample standard deviation was 5.2 .Provide 90% and 95% confidence intervals for the population mean number of weekly customer contacts for the sales personnel. 3. A simple random sample of 400 individuals provides 100 Yes responses. a. What is the point estimate of the proportion of the population that would provide Yes responses? b. What is your estimate of the standard error of the proportion? c. Compute the 95% confidence interval for the population proportion. 4. In a survey, the planning value for the population proportion is .35. How large a sample should be taken to provide a 95% confidence interval with a margin of error of .05? 5. In developing patient appointment schedules, a medical center wants to estimate the mean time that s staff member spends with each patient. How large a sample should be taken if the desired margin of error is two minutes at a 95% level of confidence? How large a sample should be taken for a 99% level of confidence. Use a planning value for the population standard deviation of eight minutes. 6. The following results are for two independent random samples taken from two populations. Sample 1: sample size : 50 mean : 13.6 sd: 2.2 Sample 2: sample size: 35 mean : 11.6 sd: 3.0

a. What is the point estimate of the difference between the two population means? b. Provide a 90% confidence interval for the difference between the two population means. c. Provide a 95% confidence interval for the difference between the two population means

7. The following results are for independent random samples taken from two populations. Sample 1: sample size : 20 mean : 22.5 sd: 2.5 a. b. c. d. Sample 2: sample size: 30 mean : 20.1 sd: 4.8

What is the point estimate of the difference between the two population means? What is the degrees of freedom for the t distribution? At 95% confidence, what is the margin of error? What is the 95% confidence interval for the difference between the two population means?

8. The Professional Golf Association (PGA) measured the putting accuracy of professional golfers playing on the PGA Tour and the best amateur golfers playing in the World Amateur Championship. A sample of 1075 6-foot putts by professional golfers found 688 made putts. a. Estimate the proportion of made 6-foot putts by proportional golfers. Estimate the proportion of 6-foot putts by amateur golfers. Which group has a better putting accuracy? b. What is the point estimate of the difference between the proportions of the two populations? What does this estimate tell you about the percentage of putts made by the two groups of golfers? c. What is the 95% confidence interval for the difference between the two population proportions? Interpret this confidence interval in terms of the percentage of putts made by the two groups of golfers.