Question

32 randomly picked people were asked if they rented or owned their own home, 8 said they rented. Obtain a point estimate of the proportion of home owners.

subject: Statistics

Answer 1

3/4 of the people randomly asked if they rented or owned their own home, are home owners.

Explanation:

1. Let's review the information given to us for solving the question:

Number of people asked if they rented or owned their own home = 32

Number of people who said they rented = 8

2. Let's obtain a point estimate of the proportion of home owners

For finding the home owners, we make this calculation:

Number of people asked if they rented or owned their own home - Number of people who said they rented

32 - 8 = 24

And now let's calculate the proportion:

Number of people who said they are home owners /Number of people asked if they rented or owned their own home

24/32 and dividing by 8 at the numerator and the denominator we have:

3/4