document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1162323>Question 1162323</A>: <I><SPAN STYLE=\"word-break: break-all;\"> A tire company makes the claim that at least 70% of its customers believed that their car performed better after installing its tires. A sample of 100 customers showed that 60% believed that their car performed better. If the company’s claim is to be tested, determine the value of the test statistic and state your decision regarding the null hypothesis. Test at a significance level of 5%. </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #788251 by </B><A HREF=/tutors/aboutme.mpl?userid=Boreal><B>Boreal(15235)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Boreal><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=Boreal><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=788251\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> Ho: p is 0.70<BR>\n" );
document.write( "Ha: p is NE 0.70<BR>\n" );
document.write( "alpha=0.05, P{reject Ho|Ho true}<BR>\n" );
document.write( "test statistic is a z<BR>\n" );
document.write( "critical value is |z|>1.96\r<BR>\n" );
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document.write( "One sample proportion<BR>\n" );
document.write( "test statistic is a z (p hat-0.70)/sqrt(p(1-p)/n1))<BR>\n" );
document.write( "=-0.10/sqrt(.21/100))<BR>\n" );
document.write( "=-2.18<BR>\n" );
document.write( "reject Ho. There is a significant difference from 0.70<BR>\n" );
document.write( "p value=0.029\r<BR>\n" );
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