Jolly Blue Giant Health Insurance (JBGHI) is concerned

Jolly Blue Giant Health Insurance (JBGHI) is concerned about rising lab test costs and would like to know what proportion of the positive lab tests for prostate cancer are actually proven correct through subsequent biopsy. JBGHI demands a sample large enough to ensure an error of ± 2% with 90% confidence. What is the necessary sample size?
A.   2,401
B.   609 C.   1,604 D.   1,692

 

Solution