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C. (Additional Problems) 1. A business firm transmits data packets internally over its company intranct from Site A to Site B. A recent sample of 300 data packets transmitted from Site A shows that 287 of them are correctly decoded at Site B but that the otber 13 are erroneously (incorrectly) decoded (a) Find the true transmission error rate from Site A to Site B with 90% confidence. (b) How many packets should be tracked to determine the error rate correctly to within 1% with 90% confidence?

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Answer #1

a)

z value at 90% = 1.645

p= 287/300 = 0.9567

CI = p +/- z *sqrt(p*(1-p)/n)
= 0.9567 +/- 1.645 * sqrt(0.9567*(1-0.9567)/300)
= (0.9373 , 0.9760)

The 90% CI (0.9373 , 0.9760)

b)

ME = 0.01

ME = z *sqrt(p*(1-p)/n)
0.01 = 1.645 *sqrt(0.9567*(1-0.9567)/300)
n = 1121

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