In: Statistics and Probability
Solution:-
State the hypotheses. The first step is to state the null hypothesis and an alternative hypothesis.
Null hypothesis: P = 0.68
Alternative hypothesis: P
0.68
Note that these hypotheses constitute a two-tailed test.
Formulate an analysis plan. For this analysis, the significance level is 0.05. The test method, shown in the next section, is a one-sample z-test.
Analyze sample data. Using sample data, we calculate the standard deviation (S.D) and compute the z-score test statistic (z).
S.D = sqrt[ P * ( 1 - P ) / n ]
S.D = 0.07032
z = (p - P) /S.D
z = 0.35
where P is the hypothesized value of population proportion in the null hypothesis, p is the sample proportion, and n is the sample size.
Since we have a two-tailed test, the P-value is the probability that the z-score is less than -0.35 or greater than 0.35.
Thus, the P-value = 0.726.
Interpret results. Since the P-value (0.726) is greater than the significance level (0.05), we have to acept the null hypothesis.
From the above test we have sufficient evidence in the favor of the claim that 68% represents the state in question.