A sample of 97 observations indicated that X1 is 87. A second sample of 153 observations indicated that X2 is 117. Conduct a z-test of hypothesis using a 0.02 significance level.
Ho: p1 ≤ P2
H1: p1 > P2
a) State the decision rule.
- Reject Ho in favour of H1 if the computed value of the statistic is less than 2.05.
- Reject Ho in favour of H.1 if the computed value of the statistic is between -2.05 and 2.05.
- Reject Ho in favour of H1 if the computed value of the statistic is greater than 2.33.
- Reject Ho in favour of H1 if the computed value of the statistic is between -2.33 and 2.33.
- Reject Ho in favour of H1 if the computed value of the statistic is greater than 2.05.
- None of the above.
b) Compute the pooled proportion. For full marks your answer should be accurate to at least two decimal places.
Pooled proportion: 0
c) What is the value of the test statistic?
For full marks your answer should be accurate to at least two decimal places.
Test statistic: 0
d) What is your decision regarding Ho?
- There is sufficient evidence, at the given significance level, to reject Ho and accept
- There is insufficient evidence, at the given significance level, to reject Ho and so Ho will be accepted or at least not be rejected.
- There is insufficient evidence to make it clear as to whether we should reject or not reject the null hypothesis.