Past surveys reveal that 30 percent of tourists going to Las Vegas to gamble spend more than $1,000. The Visitor's Bureau of Las Vegas wants to update this percentage.
The new study is to use the 90 percent confidence level. The estimate is to be within 1 percent of the population proportion. What is the necessary sample size?
The Bureau feels the sample size determined above is too large. What can be done to reduce the sample? Based on your suggestion, recalculate the sample size. (Hint: Use an allowable error in the range of 0.01 to 0.05)