Question

According to a study conducted in one city, 34% of adults in the city have credit card debts of more than$2000. A sample n=300 is obtained from the city. Describe the sampling distribution of p hat?

Answer 1

p hat≈N(0.34,0.0273)

Explanation:

Given information p=0.34

Number of random samples=300

The sampling distribution of p hat is

p∧≈N(0.34,\sqrt{\frac{0.34(1-0.34)}{300}})

≈N(0.34,0.0273)