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A stock market analyst notices that in a certain year, the
Chapter 5, Problem 16E(choose chapter or problem)
QUESTION:
A stock market analyst notices that in a certain year, the price of IBM stock increased on 131 out of 252 trading days. Can these data be used to find a 95% confidence interval for the proportion of days thatIBM stock increases? Explain.
Questions & Answers
QUESTION:
A stock market analyst notices that in a certain year, the price of IBM stock increased on 131 out of 252 trading days. Can these data be used to find a 95% confidence interval for the proportion of days thatIBM stock increases? Explain.
ANSWER:
Answer:
Step 1 of 3:
Given, a stock market analyst notices that in a certain year, the price of IBM stock increased in 131 out of 252 trading days.
Here n = 252, x = 131.