Question

1. An online clothing company is concerned about the timeliness of their deliveries. The VP of Operations and Marketing recently stated that she wanted the percentage of products delivered on time to be greater than 90%. They test the hypothesis that 90% of the deliveries are on time against the alternative that greater than 90% are on time and find a p-value of 0.22. Which of these conclusions is appropriate?

1. There is a 22% chance that 90% of the deliveries are on time.
2. There is a 78% chance that 90% of the deliveries are on time.
3. There is a 22% chance that the sample they drew shows the percentage of non-time deliveries
4. There is a 22% chance that natural sampling variation could produce a sample with an observed proportion of on-time deliveries such as the one they obtained if, in fact, 90% of deliveries are on time.

Answer 1

Ans : By definion of P-value,

There is a 22% chance that natural sampling variation could produce a sample with an observed proportion of on-time deliveries such as the one they obtained if, in fact, 90% of deliveries are on time.