Question

A factory is producing 50,000 pairs of shoes daily. From a sample of 500 pairs, 2% were found to be of sub-standard quality. Estimate the number of pairs that can be reasonably expected to be spoiled at 95% level of confidence.

Answer 1

N = 50,000, n = 500, P = 2/100, Q = 98/100 

The estimated percentage of spoiled pairs in daily production = 2/100 × 50,000 = 1000 

The limits for the number of spoiled pans at 95% level of confidence