Question: (10 points total)

Health care for all is a huge priority for the Obama administration. Suppose you are planning a simple random sample survey to estimate the mean family out-of-pocket expenditures for health care in your community during 2009. Suppose that, in 2008, the approximate per family out-of-pocket expenditure was $1325. You want to construct a 90% confidence interval estimate for the community wide family out-of-pocket expenditures to be no wider than $300.

How many families do you require in the sample to satisfy your requirement of a $300 confidence interval width? In developing your answer, you may assume that your sample will be a simple random sample from a Normal distribution with known standard deviation . σ=750

Price: $2.99

Solution: The downloadable solution consists of 1 pages
Deliverable: Word Document