In: Finance
The Centers for Disease Control reported the percentage of people 18 years of age and older who smoke (CDC website, December 14, 2014). Suppose that a study designed to collect new data on smokers and nonsmokers uses a preliminary estimate of the proportion who smoke of .28.
a. How large a sample should be taken to estimate the proportion
of smokers in the population with a margin of error of .02 (to the
nearest whole number)? Use 95% confidence.
b. Assume that the study uses your sample size recommendation in
part (a) and finds 520 smokers. What is the point estimate of the
proportion of smokers in the population (to 4 decimals)?
c. What is the 95% confidence interval for the proportion of smokers in the population (to 4 decimals)?
( , )