document.write( "Question 333028: In 1992, the FAA conducted 86,991 pre-employment drug tests on job applicants who were to be engaged in safety and security-related jobs, and found that 1143 were positive.
\n" );
document.write( "A. Construct a 95% confidence interval for the population proportion of positive drug tests.
\n" );
document.write( "B. Why is the normality assumption not a problem, despite the very small value of p? \n" );
document.write( "
Algebra.Com's Answer #238650 by jrfrunner(365) You can put this solution on YOUR website! 1. compute the sample point estimate Pbar = 1143/86991 = 0.0131 \n" ); document.write( "2. compute the standard error: \n" ); document.write( "3. Identify the critical value for 95% confidence: Z=1.96 \n" ); document.write( "4. Compute the 95% confidence interval for \n" ); document.write( " pbar -\+ Z*Standard Error = 0.0131-1.96*0.000386, 0.0131+1.96*0.000386 \n" ); document.write( " (0.0123, 0.0139) \n" ); document.write( "== \n" ); document.write( "Note: This is a binomial distribution problem \n" ); document.write( "X = number testing positive~Binomial (n,p)=binomial(86991,0.0131) \n" ); document.write( "But since the sample size is large and n*pbar=1143 exceeds 10 \n" ); document.write( "this meets the criteria for using the normal approximation to the Binomial. \n" ); document.write( "-- \n" ); document.write( "This is needed since the Binomial is skewed in the extremes and these requirements limit the Binomial from the extremes, allowing the Normal approximation. \n" ); document.write( " |