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Current Attempt in Progress Suppose you want to estimate the proportion of cars that are sport utility vehicles (SUVs) being
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Answer #1

Given,

Proportion of cars that are SUVs, p= 0.40

Error of confidence interval, margin of error, E = 0.03

For 90% confidence interval, Z = 1.645

We know for margin of error for computing population proportion is given by

E=Z \times \sqrt{\frac{p(1-p)}{n}}

\Rightarrow n=\left ( \frac{Z}{E} \right )^{2} \times p(1-p)

So, number of cars should you randomly sample ,

\Rightarrow n=\left ( \frac{1.645}{0.03} \right )^{2} \times 0.4(1-0.4)

            =721.6067\approx 722

Answer : n = 722

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