Answer :
The 95% confidence interval of voters not favoring the incumbent is (0.0706, 0.1294).
Sample size, n=400
Sample proportion, p = 40 / 400
= 0.1
We use normal approximation, for this, we check that both np and n(1-p) >5.
Since n*p = 40 > 5 and n*(1-p) = 360 > 5, we can take binomial random variable as normally distributed, with mean = p = 0.1 and standard deviation = root( p * (1-p) /n )
= 0.015
For constructing Confidence interval,
Margin of Error (ME) = z x SD = 0.0294
95% confidence interval is given by Sample Mean +/- (Margin of Error)
0.1 +/- 0.0294 = (0.0706 , 0.1294)
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