64 randomly selected items were tested. It was found that 56 of the items tested positive.
Test the hypothesis that exactly 80% of the items tested positive at α = 0.01
State the null and alternative hypothesis:
H
0: p = 0.8
H
A: p ≠ 0.8
Compute
p^ = 0.875
Calculate our test statistic z:
z = | 0.875 - 0.8 |
| √0.8(1 - 0.8)/64 |
z = 1.5
Checking our table of z-scores for α = 0.01%, we get:
Z = 2.3263
Our rejection region is Z > 2.3263