Question

Suppose a poll was taken of 1000 randomly selected voters and the results showed that 53% support Congress’ Jobs Creation Bill. You want to test the hypothesis that the majority of likely voters support Congress’ Bill; in other words to test the hypothesis H₀: π ≤ 0.50 versus H₁ : π > 0.50, at .01 level of significance. What is (are) the critical value(s) for the test? Choose the best answer.

Select one:

±2.575

2.33

±2.33

1.96

1.645

Answer 1

Solution:

Given that,

This is right tail test,

= 0.01

Z = Z0.01 = 2.33

Critical Value = 2.33