In: Statistics and Probability
In the EAI sampling problem, the population mean is $51,900 and the population standard deviation is $4,000. When the sample size is n = 20, there is a 0.4238 probability of obtaining a sample mean within +/- $500 of the population mean. Use z-table.
a. What is the probability that the sample mean is within $500 of the population mean if a sample of size 40 is used (to 4 decimals)?
b. What is the probability that the sample mean is within $500 of the population mean if a sample of size 80 is used (to 4 decimals)?