Recent studies have shown that 53% percent of microchipped dogs when lost are returned to their owners. A local shelter suspects that this percentage is much lower in their region. A random sample of 200 microchipped dogs reported lost was selected. In this sample only 98 were returned. Using a 0.10 significance level determine if the percentage of microchipped dogs returned is significantly lower in this region?
Ho : p = 0.53 Vs H1 : p < 0.53
Test statistic Z
Z = (p^ - p)/sqrt[p*(1-p)/n]
Where p^ = 98/200 = 0.49
Z = ( 0.49-0.53)/[0.53*0.47/200]
Z = -1.13
p-value = P( Z < -1.13)
p-value = 0.1292
Decision rule : if p-value < a we reject the null hypothesis otherwise we retain the null hypothesis
Our p-value = 0.1292 > 0.10
Decision : we retain the null hypothesis
Conclusion : There is no sufficient evidence to support the claim the percentage of microchipped dogs returned is significantly lower in this region
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