1. Oct 31, 2004

### tink

Destructive SAmpling, in which the test to determine whether an item is defective destroys the item, is generally exensive, and the high costs involved often prohibit large sample sizes. For exampl, suppose the National Highway TRaffic SAfety Administrator wishes to detrmine the proportion of new tires that will fail when subjected to hard braking at a speed of 60 miles per hour. NHTSA can obtain the tires for 25$each. Suppose the budget for the experiment is$10 000 and NHTSA wishes to estimate the percentage that will fail to within 0.02 with 95% confidence. Assuming that the entire \$10 000 can be spent on tires (ignoring otehr costs) and that the true fraction that will fail is approx 0.05, can NHTSA attain its goal while staying within budget?!?! Explain!