Population Proportion: popular car color for past 2 years is white (0.26). Out of 57 cars in the lot, 14 were white. Test at .05 SL. Solve for proportion
Solution :
Given that ,
n = 57
x = 14
The null and alternative hypothesis is
H0 : p = 0.26
Ha : p 0.26
This is the two tailed test .
= x / n = 14 / 57 = 0.2456
P0 = 0.26
1 - P0 = 1 - 0.26 = 0.74
Test statistic = z
= - P0 / [P0 * (1 - P0 ) / n]
= 0.2456 - 0.26 / [0.26 ( 1 - 0.26 ) / 57 ]
= -0.248
The test statistic = -0.248
P-value = 0.8044
= 0.05
0.8044 > 0.05
P-value >
Fail to reject the null hypothesis .
There is not sufficient evidence to the test claim .
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