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Hypothesis Testing (One Sample- proportion) using the 5 step process: Use hypothesis testing to test the...

Hypothesis Testing (One Sample- proportion) using the 5 step process:

Use hypothesis testing to test the claim that the percentage of women who use Cannabis on a regular basis is more than 26%. A random sample of 200 women found that 64 of them used Cannabis on a regular basis. Use a level of significance of 0.10.

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Expert Solution

Ho :   p =    0.26                  
H1 :   p >   0.26       (Right tail test)          
                          
Level of Significance,   α =    0.10                  
Number of Items of Interest,   x =   64                  
Sample Size,   n =    200                  
                          
Sample Proportion ,    p̂ = x/n =    0.320                  
                          
Standard Error ,    SE = √( p(1-p)/n ) =    0.0310                  
Z Test Statistic = ( p̂-p)/SE = (   0.3200   -   0.26   ) /   0.0310   =   1.9345
                              
                          
p-Value   =   0.0265 [Excel function =NORMSDIST(-z)              
Decision:   p-value<α , reject null hypothesis
                      

There is enough evidence to CONCLUDE  that the percentage of women who use Cannabis on a regular basis is more than 26%.

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