Question

You may need to use the appropriate appendix table or technology to answer this question. A major retailer wants to track the number of products that are returned to the store after purchase. During a particular week the retailer cold a beta of products, and items were returned

(a) Determine a 95% confidence interval for the proportion of returned products sold by the seller. (Round your miners to four decimal places)____to_____
(b) If 14 thousand products are sold by the retailer in a given yees determine the 95 sh confidence interval for the number of products (how many) that should be retime4. (found rur as answers to the nearest whole number.)____to____ products returned

Answer 1

To find the 95% confidence interval for the proportion of returned products sold by the seller, use the plus-four method. Calculate the lower and upper bounds for the proportion as well as the number of products that should be returned using the given information.

Step-by-step explanation:

To find the 95% confidence interval for the proportion of returned products sold by the seller, we need to use the plus-four method. First, calculate the sample proportion: divide the number of returned products by the number of products sold. Then, use the formula to calculate the adjusted sample size: sample size plus four.

a) Calculate the lower bound of the confidence interval: sample proportion minus 1.96 times the square root of (sample proportion times (1 - sample proportion) divided by adjusted sample size). Calculate the upper bound of the confidence interval: sample proportion plus 1.96 times the square root of (sample proportion times (1 - sample proportion) divided by adjusted sample size). Round the values to four decimal places.

b) Calculate the lower bound of the confidence interval: sample proportion times number of products sold minus 1.96 times the square root of (sample proportion times (1 - sample proportion) divided by adjusted sample size). Calculate the upper bound of the confidence interval: sample proportion times number of products sold plus 1.96 times the square root of (sample proportion times (1 - sample proportion) divided by adjusted sample size). Round the values to the nearest whole number.