In: Statistics and Probability
A state's environmental agency worries that a larger percentage of cars may be violating clean air standards. In the past, the percentage of cars that violate clean air standards has been 10%. The agency hopes to check a sample of vehicles in order to estimate that percentage with a margin of error of 1% and with 99% confidence.
How many cars should be sampled? Show your work! Formula(s), substitutions, answer! Round your z or t value to 3 decimal places.
Solution :
Given that,
= 0.10
1 - = 1 - 0.10 = 0.90
margin of error = E = 1% = 0.01
At 99% confidence level the z is,
= 1 - 99%
= 1 - 0.99 = 0.01
/2 = 0.005
Z/2 = 2.576 ( Using z table )
Sample size = n = (Z/2 / E)2 * * (1 - )
= (2.576 / 0.01)2 * 0.10 * 0.90
=5972.19
Sample size = 5973