In order to set rates, an insurance company is trying to estimate the number of sick days that full time workers at a local bank take per year. Based on earlier studies, they will assumed that s= 2.2 days
a) How large a sample must be selected if the company wants to be 98% confident that their estimate is within 1 day of the true mean?
b) Repeat part (a) using a 99% confidence interval. Which level of confidence requires a larger sample size? Explain.

Question

In order to set rates, an insurance company is trying to estimate the number of sick days that full time workers at a local bank take per year. Based on earlier studies, they will assumed that s= 2.2 days 
a) How large a sample must be selected if the company wants to be 98% confident that their estimate is within 1 day of the true mean?
b) Repeat part (a) using a 99% confidence interval. Which level of confidence requires a larger sample size? Explain.

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The Answer of In order to set rates, an insurance company is trying to estimate the number of sick days that full time workers at a local bank take per year. Based on earlier studies, they will assumed that s= 2.2 days 
a) How large a sample must be selected if the company wants to be 98% confident that their estimate is within 1 day of the true mean?
b) Repeat part (a) using a 99% confidence interval. Which level of confidence requires a larger sample size? Explain.

In Order to Set Rates, an Insurance Company Is Trying