SOLUTION: 10.3 In 1999, a sample of 200 in-store shoppers showed that 42 paid by debit card. In 2004, a sample
of the same size showed that 62 paid by debit card. (a) Formulate appropriate
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Question 293699: 10.3 In 1999, a sample of 200 in-store shoppers showed that 42 paid by debit card. In 2004, a sample
of the same size showed that 62 paid by debit card. (a) Formulate appropriate hypotheses to test
whether the percentage of debit card shoppers increased. (b) Carry out the test at α = .01. (c) Find
the p-value. (d) Test whether normality may be assumed.
Answer by stanbon(75887) (Show Source): You can put this solution on YOUR website!
In 1999, a sample of 200 in-store shoppers showed that 42 paid by debit card.
p'1 = 0.21
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In 2004, a sample of the same size showed that 62 paid by debit card.
p'2 = 0.31
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(a) Formulate appropriate hypotheses to test whether the percentage of debit card shoppers increased.
Ho: p'2-p'1 = 0
Ha: p'2-p'1 > 0
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(b) Carry out the test at α = .01
I ran a 2-PropZtest and got:
test stat = 2.2798
-----------------------------------------
(c) Find the p-value: 0.01131
Conclusion: Since p-value is greater than 1%, fail to reject Ho.
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(d) Test whether normality may be assumed.
I'll leave that to you.
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Cheers,
Stan H.
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