You are the operations manager for an airline and you are considering a higher fare level for passengers in aisle seats. How many randomly selected air passengers must you survey? Assume that you want to be 90% confident that the sample percentage is within 2.5 percentage points of the true population percentage. Complete parts (a) and (b) below.
a. Assume that nothing is known about the percentage of passengers who prefer aisle seats.
n= 1083
b. Assume that a prior survey suggests that about 39% of air passengers prefer an aisle seat.
n=____
Given : Margin of error=E=2.5%=0.025
Significance level=
The critical value is , ; From Z-table
a. Since , the estimate of the percentage of passengers who prefer aisle seats is not known.
Therefore , assume that =0.5
Therefore , the required sample size is ,
b. Since , the estimate of the percentage of passengers who prefer aisle seats is known and =0.39
Therefore , the required sample size is ,
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