Question

A large-sample 95 percent confidence interval for the proportion of credit card customers that have reported fraudulent charges on their account is (0.028, 0.086). What is the point estimate for the proportion of all credit card customers that have reported fraudulent charges on their account? (A) 0.029 (B) 0.057 (C) 0.058 (D) 0.114 (E) 0.196

Answer 1

B.

Explanation:

Point estimate is always at the center of the interval.

You can find it by averaging the endpoints:

p(hat) = (0.028 + 0.086)/2 = 0.057