The test statistic of z=−3.11 is obtained when testing the claim that p <0.72.
a. Using a significance level of alpha=0.01, find the critical value(s).
b. Should we reject H0 or should we fail to reject H0 and is the evidence insufficient or sufficient?
Solution :
This is the LEFT tailed test .
The null and alternative hypothesis is
H0 : p =0.72
Ha : p < 0.72
Test statistic = z =-3.11
A
Z = Z0.01 = -2.33 ( Using z table )
B
Z <Z
Reject the null hypothesis .
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