Question

a. A company that makes pregnancy test claims to be at least 98% accurate A SRS of 5678 women who
used these test were contacted and it was found that 102 did not correctly indicate pregnancy. Using ∝=
0.05 determine whether the company’s claim is accurate.
b. Another company that makes pregnancy tests claims to be at least 98% accurate A SRS of 312
women who used these test were contacted and it was found that 6 did not correctly indicate pregnancy.
Using ∝= 0.05 determine whether the company’s claim is accurate.

Answer 1

Solution:

a) The null and alternative hypotheses are:

Under the null hypothesis, the test statistic is:

Where:

Conclusion: Since the p-value is greater than the significance level 0.05, we, therefore, fail to reject the null hypothesis and conclude that there is not sufficient evidence to warrant the rejection of the claim that at least 98% of the tests are accurate.

b. The null and alternative hypotheses are:

Under the null hypothesis, the test statistic is:

Where:

Conclusion: Since the p-value is greater than the significance level 0.05, we, therefore, fail to reject the null hypothesis and conclude that there is not sufficient evidence to warrant the rejection of the claim that at least 98% of the tests are accurate.