A state’s environmental agency worries that many semi-trailer trucks on highway may be violating clean air emission standards due to faulty emission control system. The agency checked a sample of vehicles by random sampling, and found 9 out of 60 with faulty emission control systems. We want to test if this result can be taken as an evidence that more than 10% of semis on highway have faulty emission control system, using significance level of 5%. Report p-value. (Use 3 decimals.)
Solution :
This is the right tailed test .
The null and alternative hypothesis is
H0 : p = 0.10
Ha : p > 0.10
= x / n = 9 / 60 = 0.15
P0 = 0.10
1 - P0 = 0.90
Test statistic = z
= - P0 / [P0 * (1 - P0 ) / n]
= 0.15 - 0.10 / [(0.10 * 0.90) / 60]
= 1.29
P(z > 1.29) = 1 - P(z < 1.29) = 1 - 0.9015 = 0.0985
P-value = 0.0985 = 0.099
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