TABLE 8-7
After an extensive advertising campaign, the manager of a company wants to estimate the proportion of potential customers that recognize a new product. She samples 120 potential consumers and finds that 54 recognize this product. She uses this sample information to obtain a 95% confidence interval that goes from 0.36 to 0.54.
-Referring to Table 8-7, 95% of the people will recognize the product between 36% and 54% of the time.

Question

Quizplus · Accepted Answer

A 95% confidence interval means that we are 95% confident that the true proportion of the population that recognizes the product falls between 36% and 54%, not that 95% of people will recognize the product within this range.

TABLE 8-7 After an Extensive Advertising Campaign, the Manager of a Company