Here are the essential concepts you must grasp in order to answer the question correctly.
Confidence Interval
A confidence interval is a range of values, derived from sample statistics, that is likely to contain the population parameter with a specified level of confidence, such as 90%. It is calculated using the sample mean, the standard error, and a critical value from the t-distribution or z-distribution, depending on the sample size and whether the population standard deviation is known.
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Introduction to Confidence Intervals
Population Mean
The population mean is the average of all possible values in a population. It is a parameter that represents the central tendency of the entire group, as opposed to the sample mean, which is calculated from a subset of the population. Understanding the difference between these two means is crucial for making inferences about the population based on sample data.
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Population Standard Deviation Known
Margin of Error
The margin of error quantifies the uncertainty associated with a sample estimate. It indicates how much the sample mean is expected to differ from the true population mean. In the context of confidence intervals, a smaller margin of error suggests a more precise estimate, while a larger margin of error indicates greater uncertainty about the population mean's location relative to the sample mean.
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