The mayor of a town has proposed a plan for the annexation of a new community. A political study took a sample of 900 voters in the town and found that 53% of the residents favored annexation. Using the data, a political strategist wants to test the claim that the percentage of residents who favor annexation is more than 49%. Determine the decision rule for rejecting the null hypothesis, H0, at the 0.01 level.
as test statisitc 2.40 is higher than critical value 2.326 , we reject the null and conclude that percentage of residents who favor annexation is more than 49%.
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