Question

Give a real-world business example and explain the importance of using confidence intervals in business or other type of decisions. 2b. List the names of 1-2 leading statisticians/mathematicians that developed and made contributions to the concepts used in this module.

Answer 1

A confidence interval is a range of values that estimates the true value of a population parameter based on a sample. It is used to make informed business decisions.

Step-by-step explanation:

A confidence interval is a range of values that is likely to contain the true value of a population parameter. It is used to estimate the unknown population parameter based on a sample taken from the population. For example, in a business context, let's say a company wants to estimate the proportion of customers who are satisfied with their product. By taking a sample of customers and calculating a confidence interval, the company can estimate the true proportion of satisfied customers and make informed business decisions based on that information.