BAD 200 Final: Problem_50
6 Nov 2020
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How much larger? e as observed in example 8. 8, zero is a believable value of the difference. Let and represents the proportion of refrigerators of brand a and b. Therefore, the largest believable value for the difference is 0. 2251. The 98% confidence interval for the true difference between proportions of failures is calculated as follows: From the confidence interval the smallest believable value for the difference is -0. 1451 which can approximately be taken at 0. Since the value is not negative, the first brand has larger number of failures during the warranty period. =0. 4, that is the first brand 0. 4 times more than the second brand. Hence, the second brand has more number of failures during the warranty period. Here also the second brand has 0. 4 more failures than the first brand. Hence, there a sufficient evidence to conclude that there is no difference between the proportions of failures for the two brands of refrigerators.
