Confidence Intervals

Question 1

Confidence intervals - 1

Answer 1

• Range/Interval off values used to estimate the true value of a population parameter.
• Based on the confidence level, it gives a success rate of the process used to estimate the parameter

Question 2

Confidence level - 2

Answer 2

• Probability (1 - α) that the confidence interval contains the population parameter.
• Also called degree of confidence or confidence coefficient

Question 3

Margin of error - 2

Answer 3

• The sample parameter is different from the population parameter, this difference is the margin of error.
• The margin of error (E) is the maximum likely difference between the sample parameter and the true value

Question 4

Critical value - 1

Answer 4

• Z score which distinguishes between sample statistics which are likely to occur and those which are not.