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In a random sample of 2877 cars on a used car lot, 5 of the 43 chosen cars failed a safety inspection. The sampling method had a margin of error of 0.02.

What is the interval estimate for the proportion that would fail in the form (lower limit, upper limit)(lower limit, upper limit) ?

Answer :

Proportion = 5/43 = 0.12 

upper limit = 0.12 + 0.02 = 0.14 
lower limit = 0.12 - 0.02 = 0.10 


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