## Related questions with answers

**Diamonds sold on the open market**. Refer to the sample of 308 diamond stones that were listed for sale on the open market in Singapore's Business Times. Recall that the color of each diamond is classified as D, E, F, G, H, or I, while the clarity of each is classified as VVS1, VVS2, VS1, or VS2. Find a $99 \%$ confidence interval for the proportion of all diamonds for sale on the open market that are classified as "VS1" clarity. Interpret the result.

Solution

VerifiedGiven:

$\begin{aligned} n&=\text{Sample size}=308 \\ x&=\text{Number of successes}=81 \\ c&=\text{Confidence coefficient}=99\%=0.99 \end{aligned}$

We need to determine a confidence interval about the population proportion $p$.

The confidence interval about the population proportion is $\hat{p}\pm E$ with $E=z_{\alpha/2}\cdot \sqrt{\dfrac{\hat{p}\hat{q}}{n}}$.

## Create a free account to view solutions

## Create a free account to view solutions

## Recommended textbook solutions

#### Statistics for Business and Economics

13th Edition•ISBN: 9780134446332 (1 more)James T. McClave, P. George Benson, Terry T Sincich#### Statistics for Business and Economics

12th Edition•ISBN: 9781133274537 (12 more)David R. Anderson, Dennis J. Sweeney, James J Cochran, Jeffrey D. Camm, Thomas A. Williams#### Essentials of Modern Business Statistics with Microsoft Office Excel

7th Edition•ISBN: 9781337298292David Anderson, Dennis J. Sweeney, James J Cochran, Jeffrey D. Camm, Thomas A. Williams#### Statistics for Business and Economics

14th Edition•ISBN: 9781337901062 (1 more)David R. Anderson, Dennis J. Sweeney, James J Cochran, Jeffrey D. Camm, Thomas A. Williams## More related questions

1/4

1/7