SOLUTION: 6.Insurancecompanies are becoming concerned that the increased use of cell phones is resulting in more car crashes, and they are considering implementing higher rates for drivers w
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Question 1177253: 6.Insurancecompanies are becoming concerned that the increased use of cell phones is resulting in more car crashes, and they are considering implementing higher rates for drivers who use such phones. They want to estimate the proportion of drivers who talk on phone while they are driving to within 3% with 95% confidence. What size of sample should they take? Answer by ewatrrr(24785) (Show Source):
Hi
n = Using p = .5 as none is given
95% confidence level, z = 1.96, ME = .03
n = (1.96/.03)^2 (.5*.5) = 1067.1111
n = 1068 rounding up to nearest whole number
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