question archive A well-known brokerage firm executive claimed that 20% of investors are currently confident of meeting their investment goals
A well-known brokerage firm executive claimed that 20% of investors are currently confident of meeting their investment goals
Subject:StatisticsPrice: Bought3
A well-known brokerage firm executive claimed that 20% of investors are currently confident of meeting their investment goals. An XYZ Investor Optimism Survey, conducted over a two week period, found that in a sample of 200 people, 25% of them said they are confident of meeting their goals.
Test the claim that the proportion of people who are confident is larger than 20% at the 0.01 significance level.
The null and alternative hypothesis would be:
H0:p=0.2H0:p=0.2
H1:p≠0.2H1:p≠0.2
H0:p≤0.2H0:p≤0.2
H1:p>0.2H1:p>0.2
H0:p≥0.2H0:p≥0.2
H1:p<0.2H1:p<0.2
H0:μ≥0.2H0:μ≥0.2
H1:μ<0.2H1:μ<0.2
H0:μ≤0.2H0:μ≤0.2
H1:μ>0.2H1:μ>0.2
H0:μ=0.2H0:μ=0.2
H1:μ≠0.2H1:μ≠0.2
The test is:
right-tailed
left-tailed
two-tailed
Correct
The test statistic is: (to 3 decimals)
The p-value is: (to 4 decimals)
Based on this we:
- Reject the null hypothesis
- Fail to reject the null hypothesis
