A company manufacturing CDs Is working on a new technology. A random sample of 7

Question

A company manufacturing CDs Is working on a new technology. A random sample of 717 Internet users were asked: "As you may know, some CDs are being manufactured so that you can only make one copy of the CD after you purchase it. Would you buy a CD with this technology, or would you refuse to buy it even if it was one you would normally buy?" Of these users, 61 % responded that they would buy the CD. Create a 90% confidence interval for this percentage. If the company wants to cut the margin of error in half, how many users must they survey? Select the correct choice below and, if necessary, fill in the answer boxes within your choice. The 90% confidence interval is. (Round to one decimal place as needed.) The conditions for constructing a confidence interval are not satisfied.

Explanation / Answer

p = .61

n = 717

a.

A 90% CI is givenby :

.61+/- 1.645*sqrt(.61*.39/717) = .58 to .64

b.

If the company wants to restrict MOE to half , then ?

On 1.645*sqrt(.61*.39/717), they must do: 4 times the 717 sample size , so that the MOE becomes 1/2

So, 2868 is the sample size

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