Claim: Most adults would erase all of their personal information online if they could. A software firm survey of 561 randomly selected adults showed that 56% of them would erase all of their personal information online if they could. Find the value of the test statistic.
answer)
Null hypothesis Ho : P = 0.5
Alternate hypothesis Ha : P > 0.5 (most means more than 50%)
N = 561
P = 0.5
First we need to check the conditions of normality that is if n*p and n*(1-p) both are greater than 5 or not
N*p = 280.5
N*(1-p) = 280.5
Both the conditions are met so we can use standard normal z table to estimate the P-Value
Test statistics z = (oberved p - claimed p)/standard error
Standard error = √{claimed p*(1-claimed p)/√n
Observed P = 0.56
Claimed P = 0.5
N = 561
After substitution
Test statistics z = 2.84225262775 = 2.84
From z table, P(z>2.84) = 0.0023
P-Value = 0.0023
As the P-Value is extremely small we reject the null hypothesis
and we have enough evidence to support the claim that p > 0.5
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