Suppose 219 subject are treated with a drug that used to treat
pain 54 of them developed nausea. Use a 0.05 significance level to
test the claim that more than 20% of users develop
nausea.
identify the null and alternative hypothesis for the test.
H0: p=0.20
H1: p>0.20
identify the test statistic for hypothesis test
identify the p value for this hypothesis test
We have for given example,
Population proportion value is =0.2
x=54
n=219
Estimate for sample proportion =0.2466
Z test statistic formula for proportion
=1.724
P value = 0.0424..............................by using Z table or Excel =1-NORMSDIST(1.724)
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