Question

The proportion of homes in Texas owned by investors rather than homeowners is 29%. Consider a sampling distribution where n=700. Calculate the mean and standard deviation of the sampling distribution. μ= and σ =

Answer 1

To calculate the mean and standard deviation of the sampling distribution, use the formula: σ =
`√((p * (1 - p) / n))`. Substituting the given values, the mean is 0.29 and the standard deviation is 0.0142.

Step-by-step explanation:

To calculate the mean and standard deviation of the sampling distribution, we need to use the formula for the standard deviation of a proportion:

σ =
`√((p * (1 - p) / n))`

In this case, p = 0.29 and n = 700:

σ =
`√((0.29 * (1 - 0.29) / 700))` =
`√((0.29 * 0.71 / 700))` =
`√((0.2039 / 700) )`= 0.0142

Therefore, the mean (μ) of the sampling distribution is 0.29 and the standard deviation (σ) is 0.0142.