SOLUTION: H0: π = .40
H1: π ≠ .40
A sample of 120 observations revealed that p = 0.30. At the .05 significance level, can the null hypothesis be rejected?
(b)
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Question 810592: H0: π = .40
H1: π ≠ .40
A sample of 120 observations revealed that p = 0.30. At the .05 significance level, can the null hypothesis be rejected?
(b)
Compute the value of the test statistic?
Answer by stanbon(75887) (Show Source): You can put this solution on YOUR website!
H0: π = .40
H1: π ≠ .40
A sample of 120 observations revealed that p = 0.30. At the .05 significance level, can the null hypothesis be rejected?
-------
(b)
Compute the value of the test statistic?
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z(0.30) = (0.30-0.40)/sqrt[0.4*0.6/120] = -2.2361
------
p-value = 2*p(z<-2.2361) = 2*normalcdf(-100,-2.2361) = 0.0253
-----
Conclusion:
Since the p-value is less than 5%, reject Ho.
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Cheers,
Stan H.
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