Canadian Dial Up, an online service provider, wants to know if more than 70% of their customers spend at least 10 hours per week working online. They conducted a survey of 250 of their customers and found that 141 of them spend at least 10 hours per week working online. Test the claim using α=0.10.
Solution :
The null and alternative hypothesis is
H0 : p = 0.70
Ha : p > 0.70
= x / n = 141 / 250 = 0.564
1 - P0 = 0.30
Test statistic = z
= - P0 / [P0 * (1 - P0 ) / n]
= 0.564 - 0.70 / [(0.70 * 0.30) / 250]
= -4.69
P-value = 1
= 0.10
P-value >
Fail to reject the null hypothesis .
There is no sufficient evidence to support the claim.
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