Question

A company that sells home security systems wants to determine if the appeal of a new system varies between homeowners and renters. Independent samples of 140 homeowners and 60 renters were randomly selected. Each respondent viewed an ad for the new system and asked if he or she would consider purchasing the system. Of the 140 homeowners 25 indicated an interest in the new system while 9 of the 60 renters expressed an interest. Let pH be the proportion of homeowners who are interested in the system and pR be the proportion of renters. What is the value of ZC used to test the null hypothesis H0: pH – pR = 0? Round your answer to 2 decimal places. How do you answer this question using excel on a mac? zc=calculated value how do you answer this question using excel on a mac?

Answer 1

Hypothesis

H₀: p_H – p_R = 0

H₁ : p_H – p_R 0

given

Descriptive Statistics

Sample	N	Event	Sample p
homeowners	140	25	0.178571
renters	60	9	0.150000

pooped proportion

Z_c =

Excel formula and calculation sheet

	homeowners	renters
Events	25	9
sample size	140	60
proportion	=B2/B3	=C2/C3
pooled proportion		=(B2+C2)/(B3+C3)
test statistic Z		=(B4-C4)/(SQRT(C5*(1-C5)*((1/B3)+(1/C3))))

zc= 0.49