The difference between formulas for constructing a confidence interval and a prediction interval is A) the prediction interval is the square root of the confidence interval. B) the addition of "1" to the quantity under the radical sign. C) the prediction interval uses r²and the confidence interval uses r. D) no difference.

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Quizplus · Accepted Answer

The key difference between constructing a confidence interval and a prediction interval lies in the formula adjustment where "1" is added to the quantity under the radical sign for the prediction interval. This accounts for the additional uncertainty in predicting a single new observation as opposed to estimating the mean of the population.

The Difference Between Formulas for Constructing a Confidence Interval and a Prediction