In: Statistics and Probability
1. A poll found that out of 600 people polled, 72% of them owned and regularly used data on their smartphone.
a. Determine a 99% CI.
b. Determine the margin of error for the CI in part (a). Round to three decimal places.
c. For a 99% CI and a margin of error of 0.01, determine the necessary sample size for estimating ?.
Solution :
Given that,
n = 600
Point estimate = sample proportion = = 0.72
1 - = 0.28
a)
At 99% confidence level the z is ,
= 1 - 99% = 1 - 0.99 = 0.01
/ 2 = 0.01 / 2 = 0.005
Z/2 = Z0.005 = 2.576
Margin of error = E = Z / 2 * (( * (1 - )) / n)
= 2.576 * (((0.72 * 0.28) / 600)
= 0.047
A 99% confidence interval for population proportion p is ,
- E < p < + E
0.72 - 0.047 < p < 0.72 + 0.047
0.673 < p < 0.767
( 0.673 , 0.767 )
b)
Margin of error = E = Z / 2 * (( * (1 - )) / n)
= 2.576 * (((0.72 * 0.28) / 600)
= 0.047
c)
sample size = n = (Z / 2 / E )2 * * (1 - )
= (2.576 / 0.01)2 * 0.72 * 0.28
= 13377.72
sample size = 13378