Using the Central Limit Theorem, it is found that the sampling distribution will be approximately normal, with mean of -0.04 and standard error of 0.0423.
In this problem, for each sample, the mean and the standard error are given by:
[tex]p_C = 0.08, s_C = \sqrt{\frac{0.08(0.92)}{100}} = 0.0271[/tex]
[tex]p_A = 0.12, s_A = \sqrt{\frac{0.12(0.88)}{100}} = 0.0325[/tex]
Then, for the distribution of differences, we have that:
[tex]p = p_C - p_A = 0.08 - 0.12 = -0.04[/tex]
[tex]s = \sqrt{s_C^2 + s_A^2} = \sqrt{0.0271^2 + 0.0325^2} = 0.0423[/tex]
The sampling distribution will be approximately normal, with mean of -0.04 and standard error of 0.0423.
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