251proport 4/28/06
For large samples we can use the Normal approximation to the binomial distribution. Use p for the population probability of success and q for the population probability of failure, and let p
x n
and q
1
p be the corresponding sample quantities. Remember that a proportion is always between zero and one. For the interval write p
p
z
2 s p
, where s p
p q
. An example follows. n
Exercise 8.24 [Exercise 8.22 in 9 th edition] (Exercise 8.22 in 8 th edition): The problem asks for a 95% confidence interval for the population proportion of successes when n
200 and x
50
Solution: Since 1
.
95 ,
.
05 and z
z
2
z
.
05
1 .
960 . p
x n
50
200
.
250 . q
10
.
250 p can say
1
1 .
960
P
.
190 x
1
.
250
.
750 .
So the confidence interval is p
p
z
2 s p
p
z
2 p q n n
.
250
.
750
p
200
.
310
.
250
.
95
1 .
960 .
0009375
.
250
.
060 or .
190
p
.
310 .
More formally, we
or make a diagram. The diagram would be a Normal curve with .250 at the center and with an area marked 95% extending from 0.190 to 0.310. Note that since the curve hits zero at .
250
3 .
90 .
0009375 , this is a good part of the area under the curve.