Problem 3 Nagel Beverage Company purchases cans from a vendor instead of making their own cans. A can must be able to withstand enough pressure to be carbonated and pressurized without the can bursting or splitting, which is a defective can. When a shipment of cans arrives, the Nagel quality inspector samples several cans and tests them to determine if the shipment should be accepted. The defect rate must be 4% or less to accept the shipment of all cans. Most cans will pass the pressurization test, but if more than 4% fail then the entire shipment is returned to the vendor. Each can must withstand at least 114 psi of pressure. To test the cans, each sampled can is pressurized until it bursts or splits. The psi required to damage the can is measured and recorded. Any can that burst/split under 114 psi is considered to "Fail", otherwise it is considered to "Pass". The defect rate is estimated as the number of cans falling out of the number of cans tested. Place your answers for Question 3 in the worksheet named Nagel 2. You are to determine the sample size required to be 90% confident of the final estimation result within a margin of error of 1%. 3

a. Calculate the appropriate value of Z in cell C4 using a built-in Excel function based on 90% confidence.

b. (2 Points) Input the maximum allowed margin of error (MOE) in cell C5 (in decimal form). c. (4 Points) Calculate the necessary sample size (n) in cell C6 by writing a formula that references the appropriate cells. For this question and the question of part d, use the conservative approach discussed in our text.

d. (4 Points) Calculate the necessary sample size (n) using StatTools. Place your StatTools output with an upper-left cell in cell E4. Place the cell reference for the value from StatTools in cell C7.

Problem 3: Sample Size Required for Estimating the True Proportion of Defective 12 OZ Cans Question 3a Question 3b Question 3c Question 3d Sample Size Inputs Z: MOE n n Question 3d - StatTools output goes here