Question

an article claims that 35% of the United States population has some form of debt. You think it’s more. We simple random sample x “197” people and y “79” say that they have debt.

Is there sufficient evidence at the 5% significance level (α = .05) to indicate that the percent of population with debt is more than 35%

show all work(or tell me what you plug into your calculator). Use specific wording the same way you would in class.

Ho:

H_a:

Test statistic:

p-val:

Statistical conclusion:

Conclusion in plain English:

Answer 1

Solution :

This is the right tailed test .

The null and alternative hypothesis is

H₀ : p = 0.35

H_a : p > 0.35

= x / n = 79 / 197 = 0.4010

Test statistic = z

= - P₀ / [P_{0 *} (1 - P₀ ) / n]

= 0.4010 - 0.35 / [(0.35 * 0.65) / 197]

= 1.50

P-value = 0.0667

= 0.05

P-value >

Fail to reject the null hypothesis .

There is sufficient evidence to suggest that the 5% significance level (α = .05) to indicate that the percent of population with debt is more than 35%