Answer:
a) [tex]n=\frac{0.5(1-0.5)}{(\frac{0.02}{2.58})^2}=4160.25[/tex]
And rounded up we have that n=4161
b) [tex]n=\frac{0.96(1-0.96)}{(\frac{0.02}{2.58})^2}=639.01[/tex]
And rounded up we have that n=640
Step-by-step explanation:
Part a
The confidence level is 99% , our significance level would be given by [tex]\alpha=1-0.99=0.01[/tex] and [tex]\alpha/2 =0.005[/tex]. And the critical value would be given by:
[tex]z_{\alpha/2}=-2.58, z_{1-\alpha/2}=2.58[/tex]
The margin of error for the proportion interval is given by this formula:
[tex] ME=z_{\alpha/2}\sqrt{\frac{\hat p (1-\hat p)}{n}}[/tex] (a)
And on this case we have that [tex]ME =\pm 0.02[/tex] and we are interested in order to find the value of n, if we solve n from equation (a) we got:
[tex]n=\frac{\hat p (1-\hat p)}{(\frac{ME}{z})^2}[/tex] (b)
Since we don't have prior info for the true proportion we can use [tex]\hat p=0.5[/tex]. And replacing into equation (b) the values from part a we got:
[tex]n=\frac{0.5(1-0.5)}{(\frac{0.02}{2.58})^2}=4160.25[/tex]
And rounded up we have that n=4161
Part b
For this case we have a prior estimation ofr the proportion:
[tex] \hat p=0.96[/tex]
And replacing we got:
[tex]n=\frac{0.96(1-0.96)}{(\frac{0.02}{2.58})^2}=639.01[/tex]
And rounded up we have that n=640