Question

An automotive manufacturer wants to know the proportion of new car buyers who prefer foreign cars over domestic. Suppose a sample of 1519 new car buyers is drawn. Of those sampled, 425 preferred foreign over domestic cars. Using the data, estimate the proportion of new car buyers who prefer foreign cars. Enter your answer as a fraction or a decimal number rounded to three decimal places.

Answer 1

The proportion of new car buyers who prefer foreign cars is 425/1519 = 0.280.

Explanation:

The proportion of new car buyers who prefer foreign cars can be estimated from the sample proportion.

The sample results tells us that 425 out of 1519 preferred foreign cars over domestic cars.

Then, we can calculate the sample proportion as:

`p=(425)/(1519)=0.280`

The proportion of new car buyers who prefer foreign cars is 425/1519 = 0.280.