A newspaper printer manager requires the proportion of errors to be no more than 4%. A...
A newspaper printer manager requires the proportion of errors to be no more than 4%. A random sample of 100 items results in 6 errors. Use a 5% significance level to test the claim that production has more than 4% errors.
Homework Answers
Null hypothesis: 
Alternative hypothesis: 
Sample proportion = 6/100 = 0.06
n = 100
We will use z-test because we are dealing with proportion.
This is one-tail test. So, p-value = P(z > 1.02) = 0.1539 (from z-table)
As p-value is greater than significance level.
So, we fail to reject null hypothesis.
So, at 5% level of significance (or 95% confidence interval) we don't have sufficient evidences to support the claim that the production has more than 4% errors.
Please comment if any doubt. Thank you.
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