Question

Your mail-order company advertises that it ships 90% of its orders within 3 working days. You...

  1. Your mail-order company advertises that it ships 90% of its orders within 3 working days. You select a SRS of 100 of 5000 orders received in the past week for an audit. The audit reveals that 86 of these orders were shipped on time.
    1. What is the sample proportion of orders shipped on time? (2 points)

    2. If the company really ships 90% of its orders on time, what is the probability that in a SRS of 100 orders the proportion is as small as the proportion in your sample or smaller? (Probability sketch required.) (8 points)

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