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A philanthropic organisation sent free mailing labels and greeting cards to a ra

ID: 3218527 • Letter: A

Question

A philanthropic organisation sent free mailing labels and greeting cards to a random sample of 100,000 potential donors on their mailing list and received 4696 donations.(a) Give a 99% confidence interval for the true proportion of those from their entire mailing list who may donate.(b) A staff member thinks that the true rate is 4.8%.

Given the confidence interval you found, do you find that rate plausible?

(a) What is the 99% confidence interval?

The 99% confidence interval is from __% to __%

(Round to two decimal places as needed.)

(b) Given the confidence interval you found, is the proposed true rate, 4.8%, plausible?

Explanation / Answer

a)here point estimate p=4696/100000=0.04696

and std error =0.0007

also for 99% CI, z=2.5758

hence confidence interval =mean -/+z*std error =0.0452 ; 0.0487 =4.52% to 4.87%

b) Yes as it falls in our confidence interval

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