Confidence intervals for proportion of business travelers

Reference no: EM13975496

1. A survey of business travelers found that 40% of those surveyed utilize hotel exercise facilities during their stay. Under the assumption that a simple random sample of 1000 business travelers were surveyed, construct and interpret the 90% and 95% confidence intervals for the proportion of business travelers who use their hotel's exercise facilities.

2. A researcher, believing 7T to be no more than 0.40, calculates the necessary sample size for the confidence level and maximum likely error he has specified. Upon completing the study, he finds the sample proportion to be 0.32. Is the maximum likely error greater than, equal to, or less than that originally specified? Explain.

3. A truck loaded with 8000 electronic circuit boards has just pulled into a firm's receiving dock. The supplier claims that no more than 3% of the boards fall outside the most rigid level of industry performance specifications. In a simple random sample of 300 boards from this shipment, 12 fall outside these specifications. Construct the 95% confidence interval for the percentage of all boards in this shipment that fall outside the specifications, then comment on whether the supplier's claim would appear to be correct.

Reference no: EM13975496

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