Confidence interval estimation, Advanced Statistics

An auditor for a government agency needs to evaluate payments for doctors' office visits paid by Medicare in a small regional town during the month of June. A total of 25,056 visits occurred during June in this small regional town. The auditor wants to estimate the total amount paid by Medicare to within ± $5 with 95% confidence. On the basis of past experience, she believes that the standard  deviation is approximately $30.

(a) What sample size should she select?

Using the sample size selected in (a), an audit was conducted and it was found that the sample mean amount of reimbursement was $93.70 and the sample standard deviation was $34.55. In 12 of the office visits, an incorrect amount of reimbursement was provided. For the 12 office visits in which there was an incorrect reimbursement, the differences between the amount reimbursed and the amount that the auditor determined should have been reimbursed were as follows

$17 $25 $14 -$10 $20 $40 $35 $30 $28 $22 $15 $5

(b) Construct a 90% confidence interval estimate of the population proportion of reimbursements that contain errors.

(c) Construct a 95% confidence interval estimate of the population mean reimbursement per office visit.

(d) Construct a 95% confidence interval estimate of the population total amount of reimbursements for this small regional town.

(e) Construct a 95% confidence interval estimate of the total difference between the amount reimbursed and the amount that the auditor determined should have been reimbursed.

Posted Date: 2/25/2013 4:44:28 AM | Location : United States







Related Discussions:- Confidence interval estimation, Assignment Help, Ask Question on Confidence interval estimation, Get Answer, Expert's Help, Confidence interval estimation Discussions

Write discussion on Confidence interval estimation
Your posts are moderated
Related Questions
This term is sometimes used for the data collected in those longitudinal studies in which more than the single response variable is recorded for each subject on each occasion. For


The Null Hypothesis - H0: Model does not fit the data i.e. all slopes are equal to zero β 1 =β 2 =...=β k =  0 The Alternative Hypothesis - H1:  Model does fit the data i.e. at

Protocol is the formal document outlining the proposed process for carrying out the clinical trial. The basic features of the document are to study the objectives, patient selecti

The probability distribution which is a linear function of the number of component probability distributions. This type of distributions is used to model the populations thought to

The number of employees absent from work at a large electronics manufacturing plant over aperiod of 106 days is given in the table below. 146 141 139 140 145 141 142 131 142 140

2 jobs n machines,graphical method,how to determine which job should proceed first on each machine

Homoscedasticity - Reasons for Screening Data Homoscedasticity is the assumption that the variability in scores for a continuous variable is roughly the same at all values of

MAREG is the software package for the analysis of the marginal regression models. The package permits the application of generalized estimating equations and the maximum likelihoo

High-dimensional data : This term used for data sets which are characterized by the very large number of variables and a much more modest number of the observations. In the 21 st