A study found that 73% of elementary students buy lunch at school at least once a month. How large a sample would be necessary to estimate the true proportion within 3 percentage points with 95% confidence?
Solution :
Given that,
= 73% = 0.73
1 - = 1 - 0.73 = 0.27
Margin of error = E = 3% = 0.03
At 95% confidence level the z is ,
= 1 - 95% = 1 - 0.95 = 0.05
/ 2 = 0.05 / 2 = 0.025
Z/2 = Z0.025 = 1.96
Sample size = ( Z/2 / E)2 * * (1 - )
= (1.96 / 0.03)2 * 0.73 * 0.27
= 841.31 = 842
Sample size = n = 842
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