Question

In a study of 420,079 cell phone users, 133 subjects developed cancer of the brain or nervous system. Test the claim of a somewhat common belief that such cancers are affected by cell phone use. That is, test the claim that cell phone users develop cancer of the brain or nervous system at a rate that is different from the rate of 0.0340% for people who do not use cell phones. Because this issue has such great importance, use a 0.005 significance level. Identify the null hypothesis, alternative hypothesis, test statistic, P-value, conclusion about the null hypothesis, and final conclusion that addresses the original claim. Use the P-value method and the normal distribution as an approximation to the binomial distribution. 

Which of the following is the hypothesis test to be conducted? 

What is the test statistic?

What is the P-value?

What is the conclusion on the null hypothesis?

What is the final conclusion?

Answer 1

Below are the null and alternative Hypothesis,
Null Hypothesis, H0: p = 0.00034
Alternative Hypothesis, Ha: p ≠ 0.00034

option D

Test statistic,
z = (pcap - p)/sqrt(p*(1-p)/n)
z = (0.00032 - 0.00034)/sqrt(0.00034*(1-0.00034)/420079)
z = -0.7

P-value = 0.4839
As P-value >= 0.005, fail to reject null hypothesis.

There is no sufficient evidence to conclude that the proportion is different than 0.00034