For this assessment, you will need to use the SAS Enterprise Guide or the Excel Calculators, the
Question:
For this assessment, you will need to use the SAS Enterprise Guide or the Excel Calculators, the latter of which can be found in Resources. SAS users can reference the SAS tutorials located in the third study activity of Unit 1. For this assignment, you will practice applying inferential statistical analysis to two business decision scenarios.
Practical Application Scenario 2
To complete this scenario, use the Sample Size Estimator file provided in Resources. The third shift at Microsoft's Windows security unit in Redmond, Washington is considering replacing its coffee brewing units with new German-made brewers. As the newest member of this elite Microsoft team, you have been assigned to investigate this proposal. Develop a 99 percent confidence interval for the average yield (cups per pound) for the new German coffee brewer. The margin of error should be no bigger than 0.3 (three-tenths of a cup). Based on experience with the current coffee makers, your best guess for the population standard deviation, sigma, is 1.2 cups. How big of a sample do you need? Calculate the estimated sample size needed for the above scenario and communicate your findings to the business manager.
Inputs: | |||||||
Planning Value for P-Star: | 0.5 | <— Input the appropriate number for your situation. | |||||
Desired Margin of Error: | 0.03 | <— Input the appropriate number for your situation. | |||||
Confidence Level: | 0.95 | <— Input the appropriate number for your situation. | |||||
Intermediate Calculations: | |||||||
Z-Multiple: | 1.9600 | ||||||
Sigma: | 0.25 | ||||||
M.E. Squared: | 0.0009 | ||||||
Z-Multiple Squared: | 3.841459 | ||||||
Results: | |||||||
Sample Size Needed: | 1068 | (rounded up to a whole number). |
Financial Accounting: A Business Process Approach
ISBN: 978-0136115274
3rd edition
Authors: Jane L. Reimers