You wish to test the following claim (H_a) at a significance level of alpha=0.005.


H_o:p=0.12
H_a:p<0.12

You obtain a sample of size n=703 in which there are 71 successful 71 observations. For this test, you should NOT use the continuity correction, and you should use the normal distribution as an approximation for the binomial distribution.

What is the test statistic for this sample? (Report answer accurate to three decimal places.)
test statistic =

What is the p-value for this sample? (Report answer accurate to four decimal places.)

1 answer

To test the given hypothesis, we will calculate the test statistic using the sample data and then find the corresponding p-value.

Given:

  • Null Hypothesis \( H_0: p = 0.12 \)
  • Alternative Hypothesis \( H_a: p < 0.12 \)
  • Sample size \( n = 703 \)
  • Number of successes \( X = 71 \)
  • Significance level \( \alpha = 0.005 \)

Step 1: Calculate the sample proportion

The sample proportion \( \hat{p} \) is calculated as:

\[ \hat{p} = \frac{X}{n} = \frac{71}{703} \approx 0.101 \]

Step 2: Calculate the test statistic (Z-score)

The test statistic for a proportion is calculated using the formula:

\[ Z = \frac{\hat{p} - p_0}{\sqrt{\frac{p_0(1 - p_0)}{n}}} \]

Where:

  • \( p_0 = 0.12 \) (the value under the null hypothesis)

First, we calculate the standard error:

\[ \text{Standard Error} = \sqrt{\frac{p_0(1 - p_0)}{n}} = \sqrt{\frac{0.12(1 - 0.12)}{703}} = \sqrt{\frac{0.12 \cdot 0.88}{703}} = \sqrt{\frac{0.1056}{703}} \approx \sqrt{0.000150} \approx 0.012247 \]

Now, substituting in the values:

\[ Z = \frac{0.101 - 0.12}{0.012247} \approx \frac{-0.019}{0.012247} \approx -1.5504 \]

Rounding to three decimal places, we have:

\[ \text{test statistic } Z \approx -1.550 \]

Step 3: Calculate the p-value

To find the p-value, we will look up the Z-score in the standard normal distribution table. The p-value for a one-tailed test (lower tail) is found using the cumulative distribution function (CDF).

Using standard normal distribution tables or a calculator for \( Z = -1.550 \):

The p-value is approximately \( 0.0606 \).

Final Answers:

  • Test statistic: \( \text{test statistic} = -1.550 \)
  • p-value: \( \text{p-value} = 0.0606 \)

Thus:

  • Test statistic = -1.550
  • p-value = 0.0606