p̂1 = 20 / 40 = 0.5
p̂2 = 10 / 40 = 0.25
Test Statistic :-
Z = ( p̂1 - p̂2 ) / √( p̂ * q̂ * (1/n1 + 1/n2) ))
p̂ is the pooled estimate of the proportion P
p̂ = ( x1 + x2) / ( n1 + n2)
p̂ = ( 20 + 10 ) / ( 40 + 40 )
p̂ = 0.375
q̂ = 1 - p̂ = 0.625
Z = ( 0.5 - 0.25) / √( 0.375 * 0.625 * (1/40 + 1/40) )
Z = 2.31
Decision based on P value
P value = 2 * P ( Z < 2.31 ) = 0.021
Looking for the value Z = 2.31 in standard normal table to find the P value
Reject null hypothesis if P value < α = 0.1
Since P value = 0.0209 < 0.1, hence we reject the null
hypothesis
Conclusion :- We Reject H0
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Section 12.3 Multiple Linear Regression:
Number ONE:
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