STATISTICAL TECHNIQUES AND TOOLS
TESTS OF SIGNIFICANCE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Without using any calculator or tables, determine which of these is a plausible value for the upper critical value for a 93% confidence interval:
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Z* = 1.645
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Z* = 1.812
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Z* = 1.960
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Z* = 1.971
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Explanation:
Detailed explanation-1: -For a 94% z-interval, there will be 6% of the area outside of the interval. That is, there will be 97% of the area less than the upper critical value of z. The nearest entry to 0.97 in the table of standard normal probabilities is 0.9699, which corresponds to a z-score of 1.88.
Detailed explanation-2: -The z-score corresponding to /2 = 0.035 is approximately 1.81. So, the value of z used in a 93% confidence interval should be 1.81.
Detailed explanation-3: -We are asked to determine the z-score used for a confidence level of 0.92 . This means that the significance level is =0.08 . Therefore, the z-score for a 92% confidence interval is ±1.75 .
There is 1 question to complete.