Statistic Methods in Business question

Question

The most conservative value of π (or p) you can use for proportion confidence intervals is ?

Answer 1

In the context of constructing confidence intervals for a proportion p, a conservative value for p would be one that yields the widest possible confidence interval, thus ensuring that the true proportion is captured with a high level of certainty.

The most conservative value of p to use in this context is 0.5 (or 50%). This is because the maximum variance of a binomial distribution (which is the distribution assumed for p) is attained when p=0.5