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DVD Rental Store A DVD rental store wants to know what proportion of its custome

ID: 3020909 • Letter: D

Question

DVD Rental Store A DVD rental store wants to know what proportion of its customers are under age 21. A simple random sample of 500 customers was taken, and 375 of them under age 21. Presume that the true population proportion of customers who are under age 21 is 068. What is the sampling distribution of proportion of customers who are under age 21 What is the probability that the sample proportion p is within 0.03 of the true proportion of customers who are under age 21? Find the 90% confidence interval for the true proportion of customers who are under age 21.

Explanation / Answer

Sincenp5, andn(1-p)5, the sampling distribution ofis approximately normal.

What is the probability that the sample proportionis within 0.03 ofthe true proportion of customers who are under age 21?ANS:0.8502

0.718<p<0.782