Statistics: Estimate the Mean

Question: An automobile manufacturer wants to estimate the meangasoline mileage that its customers will obtain with its new compact model. How many sample runs must be performed in order that the estimate be accurate to within 0.25 mpg at 90% confidence? (Assume that alpha = 2.0.)

Margin of error, ME = 0.25, sd = 2.0 and z- value corresponding to 90% …

This solution utilizes the minimum sample size formula to calculate the value of “n”. This response is complete, neat and presented in a step-by-step manner.