Question

An automobile insurance company selected samples of single and married male policyholders and recorded the number who made an insurance claim over the preceding three-year period. Those data are summarized in the following table.

Single policyholders (population 1)		Married policyholders (population 2)
policyholders surveyed = 400		policyholders surveyed = 900
number making claims = 76		number making claims = 165

J.What is the pooled estimate of p?
K.What is the z-value for the hypothesis test?
L.What is the p-value for the hypothesis test?
M.At 90% confidence (α = 0.10), what is the solution to the hypothesis test?
N.At 95% confidence (α = 0.05), what is the solution to the hypothesis test?
O.At 99% confidence (α = 0.01), what is the solution to the hypothesis test?

Answer 1

Single Policyholders (population 1):

n1 = 400

r1 = 76

p1 = 0.19

Married Policyholders (population 2)

n2 = 900

r1 = 165

p2 = 0.1833

J. Pooled estimate of P

K. Z value of the test

L. The p-value based on the z=0.2875 is .771

M. At 90% confidence, there is no difference in the proportion of the single and married policyholders.

N. At 95% confidence, there is no difference in the proportion of the single and married policyholders.

O. At 99% confidence, there is no difference in the proportion of the single and married policyholders.