Math Problem Statement

In a survey, 14 people were asked how much they spent on their child's last birthday gift. The results were roughly bell-shaped with a mean of $34 and standard deviation of $9. Construct a confidence interval at a 99% confidence level.

Give your answers to one decimal place.

±

Solution

To construct a 99% confidence interval for the average amount spent on a child’s birthday gift, we'll use the formula:

Confidence Interval=mean±(z×σn)\text{Confidence Interval} = \text{mean} \pm (z \times \frac{\sigma}{\sqrt{n}})

where:

  • mean = $34
  • standard deviation (σ\sigma) = $9
  • sample size (nn) = 14
  • z-score for a 99% confidence level = 2.576 (for a two-tailed test)

Step 1: Calculate the Standard Error

Standard Error (SE)=σn=9142.41\text{Standard Error (SE)} = \frac{\sigma}{\sqrt{n}} = \frac{9}{\sqrt{14}} \approx 2.41

Step 2: Multiply by the z-score

Margin of Error (ME)=2.576×2.416.2\text{Margin of Error (ME)} = 2.576 \times 2.41 \approx 6.2

Step 3: Construct the Confidence Interval

Confidence Interval=34±6.2\text{Confidence Interval} = 34 \pm 6.2

This results in: Confidence Interval=(346.2,34+6.2)=(27.8,40.2)\text{Confidence Interval} = (34 - 6.2, 34 + 6.2) = (27.8, 40.2)

Final Answer

The 99% confidence interval is: 34±6.2or(27.8,40.2)34 \pm 6.2 \quad \text{or} \quad (27.8, 40.2)

Would you like further clarification on any part of this process?


Here are some related questions for further exploration:

  1. What would the confidence interval be if the confidence level were 95% instead?
  2. How does increasing the sample size affect the confidence interval?
  3. What would happen to the confidence interval if the standard deviation were higher?
  4. Why do we use the z-score rather than the t-score in this scenario?
  5. What does a 99% confidence interval imply about the survey results?

Tip: When constructing confidence intervals, always check if the sample size is large enough or if the population is normally distributed to decide between using z-scores or t-scores.

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Math Problem Analysis

Mathematical Concepts

Statistics
Confidence Intervals
Standard Deviation

Formulas

Confidence Interval = mean ± (z × (σ/√n))
Standard Error (SE) = σ/√n
Margin of Error (ME) = z × SE

Theorems

Central Limit Theorem
Properties of the Normal Distribution

Suitable Grade Level

Grades 10-12