Question

Identify the P-VALUE used in a hypothesis test of the following claim and sample data:

Claim: "Less than 14% of students would shop at the campus bookstore on Sundays."

A random sample of 153 students is selected, and 8% of them said they would shop at the bookstore if it was open on Sundays. Test the claim at the 0.01 significance level.

a.	5.8×10-10	b.	0.028
c.	1.16×10-9	d.	0.014

Answer 1

Answer:

Given,

To identify P value and hypothesis test

consider,

Ho : P >= 14% = 0.14 (Null hypothesis)

Ha : P <= 14% = 0.14 (Alternative hypothesis)

Here it is left tailed test

alpha = 0.01

p = 8%

= 0.08

n = 153

Ztest =P1 - p /(sqrt(p(1-p)/n))

= 0.08 - 0.14 /(sqrt(0.14*0.86)/153)

= - 2.14

Now p value is 0.016 which is approximately 0.02 for the appropriate z test

P value = 0.02 [since from normal distribution table]

Here p value is less than alpha so that we accept i.e., p<14%

So Option d is correct answer