Question

(a) Write the claim mathematically and identify Upper H 0 H0 and Upper H Subscript a Ha. ?(b) Find the critical? value(s) and identify the rejection? region(s). (c) Find the standardized test statistic.? (d) Decide whether to reject or fail to reject the null hypothesis. An environmental agency recently claimed more than 27 27?% of consumers have stopped buying a certain product because of environmental concerns. In a random sample of 1040 1040 ?consumers, you find 30 30?% have stopped buying the product. At alpha ? equals = 0.03 0.03?, do you have enough evidence to support the? claim?

Answer 1

a)

H0: p = 0.24

Ha: p > 0.27

b)

Critical value at 0.03 level is 1.8808

Rejection region = Reject H0 if test statistics Z > 1.8808

c)

Test statistics

Z = - p / sqrt(p( 1 - p) / n)

= 0.30 - 0.27 / sqrt( 0.27 * 0.73 / 1040)

= 2.179

d)

Since Z > 1.8808, we have sufficient evidence to reject H0.

We conclude at 0.03 level that we have enough evidence to support the claim that more than 27%

of consumers have stopped buying a certain product because of environmental concerns.