In a study of 805 randomly selected medical malpractice lawsuits, it was found that 508 of them were dropped or dismissed. Use a 0.05 significance level to test the claim that most medical malpractice lawsuits are dropped or dismissed.
Which of the following is the hypothesis test to be conducted?
A. H0: p≠0.5 H1: p=0.5
B. H0: p>0.5 H1: p=0.5
C. H0: p=0.5 H1: p≠0.5
D. H0: p=0.5 H1: p<0.5
E. H0: p=0.5 H1: p>0.5
F. H0: p<0.5 H1: p=0.5
What is the test statistic? z=___ (round to two decimals)
What is the conclusion about the null hypothesis?
What is the final conclusion?
solution:
The sample size is N=805,
the number of favorable cases is X=508
Sample proportion =
Null and Alternative Hypotheses
This corresponds to a right-tailed test, for which a z-test for one population proportion needs to be used.
the significance level is
the critical value for a right-tailed test is
Test Statistics
Decision about the null hypothesis
Since it is observed that , it is then concluded that the null hypothesis is rejected.
Conclusion
it is concluded that the null hypothesis Ho is rejected. Therefore, there is enough evidence to claim that te most medical malpractice lawsuits are dropped or dissmissed.
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