Mathematics, 14.05.2021 19:20 samanthacruzsc51
In a random sample of 150 people in a large city, 117 indicated that buying a house is
a good investment.
a. A critic claims that the true proportion is .70. Test the validity of this claim against a two-
sided alternative at the 5% level of significance. In answering, write the null and alternative
hypotheses and the decision rule. Show your calculations and state your conclusion.
b. Find a 95% confidence interval estimate for the true proportion and interpret it.
c. Use your results in part (b) to explain whether you reject the claim that the true proportion
is .70.
d. Is your conclusion in part (c) the same as your conclusion in part (a)? Explain clearly.
Answers: 1
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In a random sample of 150 people in a large city, 117 indicated that buying a house is
a good inves...
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