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An economist would like to estimate the 99% confidence interval for the average real estate taxes...

An economist would like to estimate the 99% confidence interval for the average real estate taxes collected by a small town in California. In a prior analysis, the standard deviation of real estate taxes was reported as $1,520. [You may find it useful to reference the z table.]

What is the minimum sample size required by the economist if he wants to restrict the margin of error to $660? (Round intermediate calculations to at least 4 decimal places and "z" value to 3 decimal places. Round up your answer to the nearest whole number.)

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Answer #1

Q: What is the minimum sample size required by the economist if he wants to restrict the margin of error to $660?

Ans:

SD = 1520

z = 2.576

E = 660

So,

660 = 1520/sqrt(n) * 2.576

Thus,

n = 35

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