In: Statistics and Probability
Suppose 200 subjects are treated with a drug that is used to treat pain and 55 of them developed nausea. Use a 0.01 significance level to test the claim that more than 20% of users develop nausea. Identify the null and alternative hypotheses for this test. Choose the correct answer below. A. Upper H 0: pequals0.20 Upper H 1: pnot equals0.20 B. Upper H 0: pequals0.20 Upper H 1: pgreater than0.20 Your answer is correct.C. Upper H 0: pgreater than0.20 Upper H 1: pequals0.20 D. Upper H 0: pequals0.20 Upper H 1: pless than0.20 Identify the test statistic for this hypothesis test. The test statistic for this hypothesis test is nothing. (Round to two decimal places as needed.) Identify the p-value as well as the conclusion for hypothesis test.
Null hypothesis
Alternative hypothesis
We have for given example,
Population proportion value is =0.2
x=55
n=200
Level of significance = 0.01
Estimate for sample proportion
Z test statistic formula for proportion
=2.65
P value is =0.0040..............by using Z table or by using Excel
command NORMSDIST(2.65)
P value is =0.0040 <0.01
Therefore, we reject H0 at
We have sufficient evidence at to say that more than 20% of users develop nausea.