Automobile mechanics conduct diagnostic tests on 150 new cars of particular make and model to determine the extent to which they are affected by a recent recall due to
Faulty catalytic converters. They find that 42 of the new cars tested do have faulty
Catalytic converters. What is the margin of error for a 99% confidence interval based on
These sample results?
A) 0.0366
B) 0.0719
C) 0.0944
D) 0.1140
E) 0.2876

Question

Quizplus · Accepted Answer

The margin of error for a proportion can be calculated using the formula for the confidence interval: ME = Z * sqrt(p(1-p)/n). For a 99% confidence level, Z is approximately 2.576. Here, p = 42/150 = 0.28, and n = 150. Plugging these values into the formula gives approximately 0.0944.

Automobile Mechanics Conduct Diagnostic Tests on 150 New Cars of Particular