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The company鈥檚 customer satisfaction survey.

In the company鈥檚 prior-year survey, 80% of customers surveyed said they were 鈥渟atisfied鈥 or 鈥渧ery satisfied.鈥 Using this value as a guess for p藛, find the sample size needed for a margin of error of 3% at a 95% confidence level.

Short Answer

Expert verified

The sample size is 683

Step by step solution

01

Given Information

Population proportion (p^)=80%=0.80

Margin of error(E)=3%=0.03

Confidence level=95%

02

Explanation

From the standard normal table, the z-score at 95%the confidence level is 1.96

The sample size is calculated as:

n=(p^)(1-p^)zE2

=0.80(1-0.80)1.960.032

=682.926

683

Therefore the required sample size is 683

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