4) Read the news story below.

Decoys Catch Stores in Cigarette-Sale Sting

The Tri-Cities Tobacco Reduction coalition recently sent three underage teenagers out to see whether they could buy cigarettes from stores in Detroit and Highland Park. The Results were not good. Of the 320 stores checked, 82 sold cigarettes to the teens, which were between ages 15-17. People must be 18 to legally buy cigarettes in Michigan. When the age of the buyer is not clear, the retailer is supposed to check the buyer's ID. The stores that sold the cigarettes will face fines.

Using the 95 percent confidence level, what sample size would be needed to estimate the true proportion of stores selling cigarettes to minors with an error of 3 percent? Explain carefully, showing all steps in your reasoning (1 thorough paragraph and SHOW YOUR WORK)

5) In a survey, 858 out of 2600 homeowners said they expected good economic conditions to continue for the next 12 months. Construct a 95 percent confidence interval for "good times" in the next 12 months. [SHOW YOUR WORK]