In a recent poll of 750 randomly selected adults, 589 said that it is morally wrong to not report all income on tax returns. use a 0.05 significance level to test the claim that 70% of adults say that it is morally wrong to not report all income on tax returns. identify the null hypothesis, alternative hypothesis, test statistic, p-value, conclusion about the null hypothesis, and final conclusion that addresses the original claim. use the p-value method. use the normal distribution as an approximation of the binomial distribution.

z= 5.08

The p value obtained was a very low value and using the significance level given we have so we can conclude that we have enough evidence to reject the null hypothesis, and we can said that at 5% of significance the proportion of adults who say's that it is morally wrong to not report all income on tax returns differs from 0.7 or 70% .

Step-by-step explanation:

1) Data given and notation

n=750 represent the random sample taken

X=589 represent the adults that said that it is morally wrong to not report all income on tax returns

estimated proportion of adults that said that it is morally wrong to not report all income on tax returns

is the value that we want to test

represent the significance level

Confidence=95% or 0.95

z would represent the statistic (variable of interest)

pv represent the p value (variable of interest)  

2) Concepts and formulas to use  

We need to conduct a hypothesis in order to test the claim that 70% of adults say that it is morally wrong to not report all income on tax returns.:  

Null hypothesis:  

Alternative hypothesis:  

When we conduct a proportion test we need to use the z statisitc, and the is given by:  

(1)  

The One-Sample Proportion Test is used to assess whether a population proportion is significantly different from a hypothesized value .

3) Calculate the statistic  

Since we have all the info requires we can replace in formula (1) like this:  

4) Statistical decision  

It's important to refresh the p value method or p value approach . "This method is about determining "likely" or "unlikely" by determining the probability assuming the null hypothesis were true of observing a more extreme test statistic in the direction of the alternative hypothesis than the one observed". Or in other words is just a method to have an statistical decision to fail to reject or reject the null hypothesis.  

The significance level provided . The next step would be calculate the p value for this test.  

Since is a bilateral test the p value would be:  

So the p value obtained was a very low value and using the significance level given we have so we can conclude that we have enough evidence to reject the null hypothesis, and we can said that at 5% of significance the proportion of adults who say's that it is morally wrong to not report all income on tax returns differs from 0.7 or 70% .  

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step-by-step explanation:

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