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Anitaevensen
ch_10299810.pdf

The major shopping areas in the community of Springdale include Springdale Mall, West Mall,

and the downtown area on Main Street. A telephone survey has been conducted to identify

strengths and weaknesses of these areas and to find out how they fit into the shopping activities

of local residents. The 150 respondents were also asked to provide information about themselves

and their shopping habits. The data are provided in the file Shopping (attached below). The

variables in the survey can be found in the file Coding (attached below).

In this exercise, some of the estimation techniques presented in the module will be applied to the

Springfield Shopping survey results. You may assume that these respondents represent a simple

random sample of all potential respondents within the community, and that the population is

large enough that application of the finite population correction would not make an appreciable

difference in the results.

Managers associated with shopping areas like these find it useful to have point estimates

regarding variables describing the characteristics and behaviors of their customers. In addition, it

is helpful for them to have some idea as to the likely accuracy of these estimates. Therein lies the

benefit of the techniques presented in this module and applied here.

1. Item C in the description of the data collection instrument lists variables 7, 8, and 9, which represent the respondent’s general attitude toward each of the three shopping areas. Each of these variables has numerically equal distances between the possible responses, and for purposes of analysis they may be considered to be of the interval scale of measurement.

1. Determine the point estimate, and then construct the 95% confidence interval for μ7 = the average attitude toward Springdale Mall.

2. Repeat part (a) for μ8 and μ9, the average attitudes toward Downtown and West Mall, respectively.

2. Given the breakdown of responses for variable 26 (sex of respondent), determine the point estimate and then construct the 95% confidence interval for p26 = the population proportion of males.

3. Given the breakdown of responses for variable 28 (marital status of respondent), determine the point estimate and then construct the 95% confidence interval for p28 = the population proportion in the “single or other” category.

4. Assume the managers have requested estimates of the mean attitudes towards each mall with a margin of error of 0.05 for each. If the managers want to have 95% confidence that the sample mean will fall within this margin of error, how large should the sample size be for each mall?

1.The point estimate and the 95% confidence interval for μ7 = the average attitude toward Springdale Mall is

The point estimate x

x n

 

standard deviation  

2

1

x x SD

n

 

The 95% confidence interval for mean average attitude is 0.05/ 2, 1n

SD x t

n 

 

Count 150

Average 3.813

Standard deviation 1.064

Standard error 0.087

t-significant value at 5% 1.976

Point estimate 3.813

95% Lower limit 3.642

95% upper limit 3.985 2. The point estimate and the 95% confidence interval for μ8 = the average attitude toward Down town Mall is

The point estimate x

x n

 

standard deviation  

2

1

x x SD

n

 

The 95% confidence interval for mean average attitude is 0.05/ 2, 1n SD

x t n

  

Count 150

Average 3.407

Standard deviation 1.124

Standard error 0.092

t-significant value at 5% 1.976

Point estimate 3.407

95% Lower limit 3.225

95% upperlimit 3.588 3. The point estimate and the 95% confidence interval for μ9 = the average attitude toward West Mall is

The point estimate x

x n

 

standard deviation  

2

1

x x SD

n

 

The 95% confidence interval for mean average attitude is 0.05/ 2, 1n SD

x t n

  

Count 150

Average 3.287

Standard deviation 1.183

Standard error 0.097

t-significant value at 5% 1.976

Point estimate 3.287

95% Lower limit 3.096

95% upper limit 3.478 II The point estimate and the 95% confidence interval for p26 = the population proportion of males is

Point estimate No.of Males

p n

95% confidence interval for population proportion of males is  

0.05/2

1p p p Z

n

 

Count 150

No.of Males 64

No.of Females 86

Proportion of Males 0.427

Z value at 0.05/2 level 1.960

Standard error 0.040

Point estimate 0.427

95% confidence interval lower limit 0.348

95% confidence interval upper limit 0.506 III The point estimate and the 95% confidence interval for p28 = the population proportion in the “single or other” category is

Point estimate No.of single or other

p n

95% confidence interval for population proportion single or other is  

0.05/2

1p p p Z

n

 

Count 150

NO. of Single or other 83

No.of Married 67

Proportion of single or other 0.553

Z value at 0.05/2 level 1.960

Standard error 0.041

Point estimate 0.553

95% confidence interval lower limit 0.474

95% confidence interval upper limit 0.633 IV. The estimated sample sizes for each of the sample with the margin of error 0.05 with 95% confidence is

2

0.05/ 2 *

Sample size Z SD

ME

      

SPRINGDALE DOWN TOWN WEST

Margin of error 0.05 0.05 0.05

Standard deviation 1.064 1.124 1.183

Z-value at 0.05/2 level 1.96 1.96 1.96

Sample size 1741 1941 2152