Question 1162495
Use a 1 sample proportion test because you are testing a proportion greater or less than 5%
Ho: the true proportion is <=5%
Ha: the  proportion is> 5%
alpha is 0.05 p{reject Ho|Ho true}
test statistic is a z
reject if z >1.645
SRS was done, and np and n(1-p) are both >5
z=(p hat -0.05)/sqrt(p(1-p)/n)
p hat=0.0573
z=0.0073/0.0173
z=0.42
p-value is 0.34
fail to reject Ho, since z < the critical value of 1.645
There is insufficient evidence based on this sample to conclusively state at the 5% interval that the batch is defective.  If the true proportion were 5% we would have a 34% chance of having a result this much or more from the mean.