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Given the null and alternative hypotheses below, test the hypothesis using a = 0.01 assuming that a sample of n = 200 yielded
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Answer #1

Now,

np=200(0.59)=118>5 and n(1-p)=200(1-0.59)=82>5

So, np = 118 is greater than 5 and n(1-p) = 82 is greater than 5. Thus, requirement for normal approximation is satisfied.

The test statistic value is given by:

Z=\frac{\widehat{p}-p}{\sqrt{\frac{p(1-p)}{n}}}=\frac{\frac{106}{200}-0.59}{\sqrt{\frac{0.59(1-0.59)}{200}}}=-1.73

Since this is a left tailed test, so the p-value is given by:

P(Z<-1.73)=P(Z>1.73)=1-P(Z<1.73)=1-0.95818

=0.04182\approx 0.042

Since p-value is greater than 0.01, so we do not have sufficient evidence to reject the null hypothesis H0.

Thus, we do not reject H0. There isn't sufficient evidence to conclude that the population proportion is less than 0.59.

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