Confidence interval estimation, Advanced Statistics

Assignment Help:

An auditor for a government agency needs to evaluate payments for doctors' office visits paid by Medicare in a small regional town during the month of June. A total of 25,056 visits occurred during June in this small regional town. The auditor wants to estimate the total amount paid by Medicare to within ± $5 with 95% confidence. On the basis of past experience, she believes that the standard  deviation is approximately $30.

(a) What sample size should she select?

Using the sample size selected in (a), an audit was conducted and it was found that the sample mean amount of reimbursement was $93.70 and the sample standard deviation was $34.55. In 12 of the office visits, an incorrect amount of reimbursement was provided. For the 12 office visits in which there was an incorrect reimbursement, the differences between the amount reimbursed and the amount that the auditor determined should have been reimbursed were as follows

$17 $25 $14 -$10 $20 $40 $35 $30 $28 $22 $15 $5

(b) Construct a 90% confidence interval estimate of the population proportion of reimbursements that contain errors.

(c) Construct a 95% confidence interval estimate of the population mean reimbursement per office visit.

(d) Construct a 95% confidence interval estimate of the population total amount of reimbursements for this small regional town.

(e) Construct a 95% confidence interval estimate of the total difference between the amount reimbursed and the amount that the auditor determined should have been reimbursed.


Related Discussions:- Confidence interval estimation

Scatter plots - non-linear relationship, The scatter plots of SRES1, RESI1 ...

The scatter plots of SRES1, RESI1 versus totexp demonstrates that there is non-linear relationship that exists as most of the points are below and above zero. The scatter plots sho

Window estimates, Window estimates is a term which occurs in the context o...

Window estimates is a term which occurs in the context of the both frequency domain and time domain estimation for the time series. In the previous it generally applies to weights

Explain Grade of membership model, Grade of membership model: This is the ...

Grade of membership model: This is the general distribution free method for the clustering of the multivariate data in which only categorical variables are included. The model ass

Balanced incomplete repeated measures design (birmd), Balanced incomplete r...

Balanced incomplete repeated measures design (BIRMD): An arrangement of the N randomly selected experimental units and k treatments in which each and every unit receives k1 treatm

Explain non-response, Non-response is the term generally used for the fail...

Non-response is the term generally used for the failure to give the relevant information being collected in the survey. Poor response can be because of the variety of causes, for

Reinterviewing, Reinterviewing  is the second interview for a sample of sur...

Reinterviewing  is the second interview for a sample of survey respondents in which questions of the original interview (or the subset of them) are repeated again. The same methods

Alternative hypothesis, The Null Hypothesis - H0: β0 = 0, H0: β 1 = 0, H...

The Null Hypothesis - H0: β0 = 0, H0: β 1 = 0, H0: β 2 = 0, Β i = 0 The Alternative Hypothesis - H1: β0 ≠ 0, H0: β 1 ≠ 0, H0: β 2 ≠ 0, Β i ≠ 0      i =0, 1, 2, 3

Product-limit estimator, Product-limit estimator is a method for estimatin...

Product-limit estimator is a method for estimating the survival functions for the set of survival times, some of which might be censored observations. The logic behind the procedu

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd