We want to determine the percentage of Fortune 500 CEOs who think Indiana University (IU) deserves its current Business Week rating. We mail a questionnaire to all 500 CEOs and 100 respond. Exactly half of the respondents believe IU does deserve its ranking.
A. Construct a 99% confidence interval for the fraction for the fraction of Fortune 500 who believe IU deserves its ranking.
B. Suppose again that we want to estimate the fraction of Fortune 500 CEOS, who believe IU deserves its ranking. Our goal is to have only a 5% chance of having our estimate be in error by more than 0.02. What size sample do we need to take?
What I need?
When I begin to put this information together in an Excel file, will the steps be like this. First, I would need to cut and paste the read only information into another document. Second, I would need to highlight the information that I would like to do a statistical analysis on. I would click on StatTools. Third, I would use the one interval setting. Fourth, I would go into the dialogue box and uncheck everything that does not pertain to the question. Thus, I would uncheck everything for the exception of the percentage area. I would click on the 99% reading. Is this correct? Please help!
Excel file shows the formula to be used by highlighting the relevant cells for this question on using StatTools for a statistical analysis.