Question

5. (30 points) Assume that a magazine advertises that at least 65% of all their readers belong to a minority group. Assume that you would like to test this claim and take a sample of 300 magazine readers, and find that only 61.3% of the readers represent minority. a State the null and alternative hypotheses. b. Test the hypotheses at the 5% significance level. What is the p-value of the test? c. What is your conclusion in the context of the question? d. Interpret the p-value you found above. c. What type of error you can commit here? Explain in the context of the question. Also, what are the implications of this error?

Answer 1

we want test the magzine advertise clauim. Ho. The 654. all and Otheir readeo belongs to minority group Tie Ho: b=0565 Hy! The 654. Of all their reader belongs to 18+ - ise He: p*0.65 The Sample size: n = b 300 - and 'He find found that pe 0613 The test statistic Z - þ-Po 0:613 - 0.650 10.65% 0:35 000 = -1.3436 12 we be deject Ho al sit. level of significance. i £ IZL2412 Ibue here IZI = .3436 < 2012 = 1.96 , we Laccept Ho at 5% level of significance Also -p-value = plinco. Il *1-1-34361) = 2 p (NIO) 13461) -0.1802. Here p-value is tess than 8 = 0.05% Jevel of significan- we may accept Ho and conclude that the data is suppošted to the magzine adventi claim that the 65% all their reader belongs to minority group...