A sample of 800 adults was chosen to determine the proportion of adults who favor legalized gambling.
1. What's the margin of error for the study?
2. If the sample proportion is .54, determine a 95% confidence interval for the population proportion.
3. If it turns out 53% of adults favor legalized gambling, what's the probability that the sample will erroneously show that a majority of adults don't favor the plan?
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The solution provides a step-by-step method for calculating the confidence interval for population proportion, margin of error and type I error. Formula for the calculation and Interpretations of the results are also included. An interactive Excel sheet is included. The user can edit the inputs and obtain the complete results for a new set of data.