Question

3. We are farming Japanese koi fish, an ornamental type of carp used to decorate ponds and water displays. An interested buyer will buy our farm at a great price for us if he is 95% confident that our breeding methods produce at least 60% Kohaku koi, a particularly coveted type of the fish. The buyer has decided to make that determination based on a lower bound computed with the Exact Method. The buyer’s people randomly sample 60 koi fish from our pond and obtain 40 Kohaku. Will we have a sale? (Hint: Use Minitab to compute a 95% confidence lower bound with the Exact Method and interpret.)

Answer 1

Test and CI for One Proportion

Method

p: event proportion

Exact method is used for this analysis.

Descriptive Statistics

N	Event	Sample p	95% Lower Bound for p
60	40	0.666667	0.553534

Test

Null hypothesis	H₀: p = 0.5
Alternative hypothesis	H₁: p > 0.5

In minitab STAT >BASIC STATISTICS > 1- PROPORTION > enter the required data( I am providing the Image for better understanding)

Since lower bound is 0.553534 = 55.3534% which is less than 60% so, he is not 95% confident so, He will not buy