Question

   Several years ago, (P&G) merged with Gillette. One of the concerns after the merger was the increasing burden of retirement expenditures. An effort was made to encourage employees to participate in 401(k) accounts. Nationwide, 66% of eligible workers participated in these accounts.

The file titled Gillette contains responses of 200 P&G workers when asked if they were currently participating in 401(k) account.

Yes= 144, No= 56

a.       Determine the sample proportion of P&G workers who participated in 401(k) accounts.

b.       Determine the sampling error if in reality P&G workers have the same proportion of participants in 401(k) accounts as does the rest of the population.

c.       Determine the probability that a sample proportion at least as large as that obtained in the sample would be obtained if P&G workers have the same proportion of participants in 401(k) accounts as does the rest of the nation.

d.       Does it appear that a larger proportion of P&G workers participate in 401(k) accounts than do the workers of the nation as a whole? Support your response.

Answer 1

a. Determine the sample proportion of P&G workers who participated in 401(k) accounts.

b. Determine the sampling error if in reality P&G workers have the same proportion of participants in 401(k) accounts as does the rest of the population.

c. Determine the probability that a sample proportion at least as large as that obtained in the sample would be obtained if P&G workers have the same proportion of participants in 401(k) accounts as does the rest of the nation.

d. Does it appear that a larger proportion of P&G workers participate in 401(k) accounts than do the workers of the nation as a whole? Support your response.

Yes there is enough evidence to support the claim that a larger proportion of P&G workers participate in 401(k) accounts than do the workers of the nation as a whole