Solution:
The null and alternative hypothesis are
H0 : p = 0.019 vs Ha : p > 0.019
n = 863
x = 19
Let be the sample proportion.
= x/n = 19/863 = 0.0220
The test statistic z is
z =
= (0.0220 - 0.019)/[0.019*(1 - 0.019)/863]
= 0.65
The Test Statistic is z = 0.65
> sign in Ha indicates that the test is "RIGHT TAILED"(One tailed right sided)
For right tailed z test ,
p value = P(Z > z) = P(Z > 0.65) = 1 - P(Z < 0.65) = 1 - 0.7422 = 0.2578
p value = 0.2578
p value > α = 0.01
The conclusion is do not reject.
Correct option is
The conclusion is do not reject
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