document.write( "Question 324568: A car insurance company would like to estimate the proportion of accident claims covered by the company. According to the preliminary estimate,89% of the claims are covered. How large of a sample should be taken to estimate the proportion covered by the company if we want to be 95% confident that the sample percentage is within 3% of the actual percentage of the accident covered by the company \n" ); document.write( "

Algebra.Com's Answer #232310 by stanbon(75887) $\"\"$ $\"About$

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A car insurance company would like to estimate the proportion of accident claims covered by the company. According to the preliminary estimate,89% of the claims are covered. How large of a sample should be taken to estimate the proportion covered by the company if we want to be 95% confident that the sample percentage is within 3% of the actual percentage of the accident covered by the company
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\n" ); document.write( "Since E = z*sqrt(pq/n)
\n" ); document.write( "sqrt(n) = [z/E]sqrt(pq)
\n" ); document.write( "---
\n" ); document.write( "n = [z/E]^2*(pq)
\n" ); document.write( "----
\n" ); document.write( "Your Problem:
\n" ); document.write( "n = [1.96/0.03]^2*(0.89*0.11)
\n" ); document.write( "---
\n" ); document.write( "n = [4268]*(0.0979)
\n" ); document.write( "----
\n" ); document.write( "n = 418 when rounded up
\n" ); document.write( "============================
\n" ); document.write( "Cheers,
\n" ); document.write( "Stan H. \n" ); document.write( "

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