A state survey investigates whether the proportion of 8% for employees who commute by car to work is higher than it was five years ago. A test on employee commuting by car was done on a random sample size of 1000 and found 100 commuters by car. Test an appropriate hypothesis using α = 0.05.
A) P-value =0.0099. There is a high chance of having 100 or less of 1000 people in a random sample be commute by car if in fact 8% do.
B) P-value =0.0099. The change is statistically significant. A 98% confidence interval is (7.8%, 12.2%). This is clearly lower than 8%. The chance of observing 100 or more commuters by car of 1000 is 1% if the commuting by car is really 8%.
C) P-value =0.9901. There is a 99% chance of having 100 or less of 1000 people in a random sample be commute by car if in fact 8% do.
D) P-value =0.9901. The change is statistically significant. A 90% confidence interval is (8.4%, 11.6%). This is clearly higher than 8%. The chance of observing 100 or more commuters by car of 1000 is less than 99% if the commuting by car is really 8%.
E) P-value =0.0099. The change is statistically significant. A 90% confidence interval is (8.4%, 11.6%). This is clearly higher than 8%. The chance of observing 100 or more commuters by car of 1000 is 1% if the commuting by car is really 8%. The P-value is less than the alpha level of 0.05.
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