SOLUTION: (b) In a preliminary random sample of 30 small businesses, it was found that five had declared Chapter 11 bankruptcy. How many more small businesses should be included in the sampl

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Question 888784: (b) In a preliminary random sample of 30 small businesses, it was found that five had declared Chapter 11 bankruptcy. How many more small businesses should be included in the sample to be 95% sure that a point estimate will be within a distance of 0.080 from p?
Answer by stanbon(75887) About Me  (Show Source):
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(b) In a preliminary random sample of 30 small businesses, it was found that five had declared Chapter 11 bankruptcy. How many more small businesses should be included in the sample to be 95% sure that a point estimate will be within a distance of 0.080 from p?
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n = [z/E]^2*pq
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n = [1.96/0.08]^2*(1/2)^2
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n = 151 (number of samples needed)
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Cheers,
Stan H.
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