Question

A coin operated coffee machine made by BIG Corporation was designed to discharge amean of eight ounces of coffee Cup It dispenses more than that on average, the corporation may lose money, and it dispenseless, the customers complain BIG Corporation would like to estimate the mean amount of coffee dispensed per cup by this machine BIG wil choose a random sample of cup amounts dispersed by this machine and use the sample tom ate Assuming that the standard deviation of cup amounts dispensed by this machine is 0.02 unce what is the minimum sample needed in order for BIG to be confident that its estimate is within 0.05 ounces of Carry your intermediate computations to least three decimal places. Write your answer as a whole number and make sure that the minimum whole number that are the requirements) If necessary, consultatoform )

Answer 1

Here we have ME 0.05, o 0.42, CL-0.99 Level of significance: a 0.01 Z1-a/2 2.576 Critical value of z is Required sample size is: ra/20 -(2.576*0.42)/0.05)^2 ME = 468.22035456 Hence, the required sample size is 469 NORMSINV(1-(0.01/2)) Excel function for critical value: