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Overview
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Table of Contents
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Module Five
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Confidence IntervalsIn Module Five, students will examine point estimates and confidence interval estimates of means and proportions and use this information to inform decisions.
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Module Five: Confidence Intervals
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Module Overview
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5-1 Discussion: Z or T Confidence Intervals?
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Starts Apr 6, 2019 11:59 PM In describing confidence intervals on a mean, z and t intervals are frequently mentioned. How are z and t confidence intervals different? Choose one interval and give an example of how it could be applied within an operations or production environment that is different from those mentioned in the overview. Discuss and share this information with your classmates.
In responding to your peers, select responses that use a confidence interval in a scenario that is different from your own. Do you agree with the use of a z or t confidence interval in those examples? Explain your reasoning and consider how confidence intervals could be applied to the final project.
Support your initial posts and response posts with scholarly sources cited in APA style.
Refer to the Discussion Rubric for directions on completing these discussions.
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5-2 Scenario Analysis: Computer Chips
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A manufacturer of computer chips has a computer hardware company as its largest customer. The computer hardware company requires all of its chips to meet specifications of 1.2 cm. The vice-president of manufacturing, concerned about a possible loss of sales, assigns his production manager the task of ensuring that chips are produced to meet the specification of 1.2 cm.
Based on the production run from last month, a 95% confidence interval was computed for the mean length of a computer chip resulting in: 95% confidence interval: (0.9 cm, 1.1 cm)
- What are the elements that the production manager should consider in determining his company's ability to produce chips that meet specifications?
- Do the chips produced meet the desired specifications?
- What reasons should the production manager provide to the vice-president to justify that the production team is meeting specifications?
- How will this decision impact the chip manufacturer's sales and net profit?
For additional details, please refer to the Scenario Analysis Guidelines and Rubric document.