In: Statistics and Probability
Solution:
Given:
Sample size = n = 212
x = Number of people treated with a drug that is used to treat pain and developed nausea = 54
Level of significance =
We have to test the claim that: more than 20% of users develop nausea.
Thus hypothesis of the study are:
H0: p = 0.20 Vs H1: p > 0.20 ( Right tailed test)
Part a) Identify the test statistic
where
Thus
Part b) Identify the p-value:
p-value = P(Z > z test statistic value)
p-value = P(Z > 1.99 )
p-value = 1 - P(Z < 1.99)
Look in z table for z = 1.9 and 0.09 and find area.
Thus from z table we get:
P( Z < 1.99) = 0.9767
Thus
p-value = 1 - P(Z < 1.99)
p-value = 1 - 0.9767
p-value = 0.0233
Part c) state a conclusion
Since p-value = 0.0233 > 0.01 significance level , we fail to reject H0.
Thus at 0.01 significance level , there is not sufficient evidence to support the claim that more than 20% of users develop nausea.