Question

Week # Revenue Print Ad TV Ad

1 $20,000 $ 3,100 $ 4,100

2 $22,000 $ 2,600 $ 4,200

3 $18,000 $ 2,800 $ 4,500

4 $21,000 $ 3,300 $ 4,300

5 $20,500 $ 3,100 $ 4,000

6 $19,000 $ 2,900 $ 3,700

7 $17,500 $ 2,500 $ 3,500

8 $21,225 $ 2,800 $ 3,600

9 $23,148 $ 3,000 $ 4,100

10 $22,865 $ 3,100 $ 4,400

11 $18,596 $ 2,600 $ 3,700

12 $17,432 $ 2,500 $ 3,100

Determine exactly how many weeks of data would be needed to have a margin of error less than 1.7% for the proportion of revenue greater than $20,000 for the 95% and 99% levels.

Answer 1

Solution:-

a) The estimated number of weeks of data would be needed to have a margin of error less than 1.7% for the proportion of revenue greater than $20,000 for the 95% is 3324.

x = 6, n = 12

M.E = 0.017

n = 3323.19

n = 3324

b) The estimated number of weeks of data would be needed to have a margin of error less than 1.7% for the proportion of revenue greater than $20,000 for the 99% is 5741.

x = 6, n = 12

M.E = 0.017

n = 5740.29

n = 5741