Monday, May 24, 2010

Find the critical value z* necessary to form a confidence interval at the level of confidence C=0.85.?

How do I figure this out?

Find the critical value z* necessary to form a confidence interval at the level of confidence C=0.85.?
To have a 85 % c.i. , we use the z-values


+ and - z(7.5%)


This value can be found by using a stnadard normal distribution Z and then (by def)


P(Z %26gt; z(7.5)%) = 7.5 %


This gives z(7.5%) = 1.4395


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