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Question

Assume that the significance level is α=0.01. Use the given information to find the P-value and the critical value(s).With H1 : p≠25, the test statistic is z= −1.74.

Answer 1

Since we are given a test statistic of z=-1.74 we can assume a normal distribution is in order.

 

With   α=0.01 and a two tailed test (since  H1 : p≠25) look up .495 in the normal table to get the critical values of z=±2.57 .

 

The p-value (look up -1.74 in the table) to get  2x.0409 = .0818 .

 

 

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