In: Statistics and Probability
The candy Reese's Pieces come in three different colors: orange, yellow, and brown. Less than forty-five percent of the pieces are supposed to be orange. A random sample of Reese's Pieces packages were opened and 166 out of 400 pieces were orange. Test the hypothesis that less than forty-five percent of Reese's Pieces are orange. Use α = .05 (define the population parameter in H0,.State the Ha and Ho,)
1. H0:
2. Ha:
3. Test Statistics (z or t score, indicate which one)
4. Rejection Region for α = .05 (based on the Ha, draw the distribution and rejection region you can use software or draw it by hand and take a picture and insert in document.)
5. Conclusion:
6. Based on your test of hypothesis, which statement would you agree with (choose one)?
__________The percent of Reese's Pieces that are orange is less than forty-five percent.
__________The percent of Reese's Pieces that are orange may be at least forty-five percent.
Solution:
Given:
Claim: Less than forty-five percent of the pieces are supposed to be orange.
A random sample of Reese's Pieces packages were opened and 166 out of 400 pieces were orange.
Thus
n= 400
x = 166
Thus sample proportion is:
α = .05
Part 1)
H0: p 0.45
Part 2)
Ha: p < 0.45
Part 3) Test Statistics:
Part 4) Rejection Region for α = .05
Since this is left tailed test , Rejection Region would be in left tail.
Thus look in z table for Area = 0.0500 or its closest area and find z value
Area 0.0500 is in between 0.0495 and 0.0505 and both the area are at same distance from 0.0500
Thus we look for both area and find both z values
Thus Area 0.0495 corresponds to -1.65 and 0.0505 corresponds to -1.64
Thus average of both z values is : ( -1.64+ - 1.65) / 2 = -1.645
Thus Z = -1.645
Thus Rejection Region for α = .05 is:
Reject H0, if z test statistic value .
Part 5) Conclusion:
Since z test statistic value = > z critical value = -1.645 , we fail to reject H0.
At 0.05 level of significance , we do not have sufficient evidence to conclude that: less than forty-five percent of Reese's Pieces are orange.
Part 6)
Since we failed to reject H0, we agree with the statement:
The percent of Reese's Pieces that are orange may be at least forty-five percent.