Question

Nexium is a drug that can be used to reduce the acid produced by the body and heal damage to the esophagus due to acid reflux. The manufacturer of Nexium claims that more than 94% of patients taking Nexium are healed within 8 weeks. In clinical trials, 213 of 224 patients suffering from acid reflux disease were healed after 8 weeks. Test the manufacturer’s claim at the α = 0.01 level of significance.

1. P-VALUE compute test statistic

2. Determine P value

3. Compare the p value and alpha

4. state conclusion to the problem

Answer 1

Given:

P = 94% = 0.94, Q= 1-P= 1-0.94=0.06

1)

= 0.01

Hypothesis:

Ho: P = 0.94

Ha: P > 0.94

Test statistic:

2)

P-value: 0.2462 ...................... From standard Normal table

3)

P-value > , i.e. 0.2462 > 0.01, That is Fail to Reject Ho at 1% level of significance.

4)

Conclusion:

P-value > , i.e. 0.2462 > 0.01, That is Fail to Reject Ho at 1% level of significance.

Therefore, There is not sufficient sample evidence to support the claim that more than 94% of patients taking Nexium are healed within 8 weeks