Question

URGENT!!! A software company is planning for an upgrade of their software. You must charge customers $100. Are your customers willing to pay this much? You contact a random sample of 40 customers and find that 11 would pay $100 for the upgrade. Find a 95% confidence interval for the proportion of all of your customers (the population) who would be willing to buy the upgrade for $100.

Answer 1

Only 27.5% of the people asked would pay the $100 [(11/40)*100]. You need 38 out of 40 people to say they would pay $100 for a 95% confidence. I got 38 from trial and error. Hope this helps.