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    Generating a Simple Random Sample

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    A manufacturing company's quality control personnel have recorded the proportion of defective items for each of 500 monthly shipments of one of the computer components that the company produces. The data are in the file P02_02.xls. The quality control department manager does not have sufficient time to review all of these data. Rather, she would like to examine the proportions of defective items for sample of these shipments.

    A. Use Excel to generate a simple random sample of size 25 from the given frame.
    B. Compute the point estimate of the population mean from the sample selected in part a. What is the sampling error in this case? Assume that the population consists of the proportion of defective items for each of the given 500 monthly shipments.
    C. Determine a good approximation to the standard error of the mean in this case.
    D. Repeat parts b and c after generating a simple random sample of size 50 from the given frame.

    What I need?

    I have tried to do a simple random sample on my own but I am having problems. Could you tell me the following? I understand that the formula is =RAND(), but when I attempt to type this into the cell, it is not doing so correctly. What am I doing wrong?

    What is the process for generating a simple random sample? Please help!!

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    Solution Preview

    = rand() function generates a random decimal number in the range 0 to 1. If you want a number in the range 0 to 100, simply multiply it by 100. If you want between 0 to 500, simply multiply it by 500, and so on. But because the original ...

    Solution Summary

    Solution attaches an Excel file that shows how to generate a simple random sample for this quality control problem. 170-word explanation included.