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katovenus [111]
3 years ago
14

A tax of 20% is collected on every purchase at a supermarket.

Mathematics
1 answer:
mafiozo [28]3 years ago
5 0
The first three statements are correct while the last statement is incorrect.
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Rzqust [24]

Using the z-distribution, it is found that the 90% confidence interval is given by: (0.6350, 0.6984).

<h3>What is a confidence interval of proportions?</h3>

A confidence interval of proportions is given by:

\pi \pm z\sqrt{\frac{\pi(1-\pi)}{n}}

In which:

  • \pi is the sample proportion.
  • z is the critical value.
  • n is the sample size.

In this problem, we have a 90% confidence level, hence\alpha = 0.9, z is the value of Z that has a p-value of \frac{1+0.9}{2} = 0.95, so the critical value is z = 1.645.

The sample size and the estimate are given by:

n = 600, \pi = \frac{400}{600} = 0.6667

Hence, the bounds of the interval are given by:

\pi - z\sqrt{\frac{\pi(1-\pi)}{n}} = 0.6667 - 1.645\sqrt{\frac{0.6667(0.3333)}{600}} = 0.6350

\pi + z\sqrt{\frac{\pi(1-\pi)}{n}} = 0.6667 + 1.645\sqrt{\frac{0.6667(0.3333)}{600}} = 0.6984

The 90% confidence interval is given by: (0.6350, 0.6984).

More can be learned about the z-distribution at brainly.com/question/25890103

#SPJ1

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