Suppose a department store wants to estimate the average age of the customers of its contemporary apparel department, correct to within 2 years, with level of confidence equal to 0.95. Management believes that the standard deviation is 8 years. The sample size they should take is 61

a.true
b. false

Respuesta :

Answer:

b. false

Step-by-step explanation:

We have that to find our [tex]\alpha[/tex] level, that is the subtraction of 1 by the confidence interval divided by 2. So:

[tex]\alpha = \frac{1-0.95}{2} = 0.025[/tex]

Now, we have to find z in the Ztable as such z has a pvalue of [tex]1-\alpha[/tex].

So it is z with a pvalue of [tex]1-0.025 = 0.975[/tex], so [tex]z = 1.96[/tex]

Now, find the margin of error M as such

[tex]M = z*\frac{\sigma}{\sqrt{n}}[/tex]

In which [tex]\sigma[/tex] is the standard deviation of the population and n is the size of the sample.

The sample size they should take is.

n, when [tex]\sigma = 8, M = 2[/tex]

So

[tex]M = z*\frac{\sigma}{\sqrt{n}}[/tex]

[tex]2 = 1.96*\frac{8}{\sqrt{n}}[/tex]

[tex]2\sqrt{n} = 1.96*8[/tex]

Dividing by 2

[tex]\sqrt{n} = 4*1.96[/tex]

[tex](\sqrt{n})^{2} = (4*1.96)^2[/tex]

[tex]n = 61.46[/tex]

We have to round up, so the needed sample size is 62, and the problem's statement is false.