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Test the proportion of customers favoring underground installation is more than 60%.

A telephone company is trying to decide whether some new lines in a large community should be installed underground. Because a small surcharge will be added to the phone bills to pay for the extra installation costs the company has decided to survey customers and proceed only if the survey strongly indicates that more than 60% of all customers favor underground installation. In a random sample of 160 customers, 115 favor underground installation in spite of the surcharge.

Construct a 99% confidence interval for the proportion of customers favoring underground installation.

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Statistics and Probability, Statistics

Category:- Statistics and Probability
Reference No.:- M9171771

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