In a representative sample of 794 coffee growers from Country X, 418 growers were certified to sell to organic coffee markets while 59 growers were transitioning to become organic certified. In Country Y, 64% of coffee growers are organic certified. Is there evidence to indicate that fewer than 64% of the coffee growers in Country X are either organic certified or transitioning to become organic certified? State your conclusion so that there is only a 10% chance of making a Type I error.
What are the hypotheses for this test?
A. H0: p<0.64
Ha: p=0.640
B. H0: p=0.64
Ha: p≠0.64
C .H0:p≠0.64
Ha: p=0.64
D.H0: p > 0.64
Ha: p or ≤ 0.64
E. H0: p=0.64
Ha: p > 0.64
F. H0: p=0.64
Ha: p<0.64
Given that, n = 794 and x = 418
sample proportion = x/n = 418/794 = 0.5264
The null and the alternative hypotheses,
H0 : p = 0.64
Ha : p < 0.64
The test statistic is,
Z = -6.67
p-value = P(Z < -6.67) = 0.000
Reject the null hypothesis because the p-value is less than the probability of making a Type I error. Therefore, there is not sufficient evidence to indicate that fewer than 64% of the coffee growers in Country X are either organic certified or transitioning to become organic certified.
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