Show all work to get full points Unsupported answers will re

Show all work to get full points. Unsupported answers will receive no credit.

For all test of hypothesis problems,

Set up the null and alternate hypothesis

Calculate the test statistic.

Draw the curve and find the critical value(s).

Make a decision.

       e. Write the conclusion in terms of the problem

1. Creative Good, a New York consulting firm, claimed that 35% of shoppers fail in their attempt to purchase merchandise on-line because Web sites are too complex.   A random sample of 60 on-line shoppers was selected and 15 reported sufficient frustration with their sites to deter making a purchase. Do these data provide sufficient evidence that percentage of shoppers fail in their attempt to purchase on-line differs from 35% ?

Solution

Null, H0:P=0.35
Alternate,shoppers fail in their attempt to purchase on-line H1: P!=0.35
Test Statistic
No. Of Success chances Observed (x)=15
Number of objects in a sample provided(n)=60
No. Of Success Rate ( P )= x/n = 0.25
Success Probability ( Po )=0.35
Failure Probability ( Qo) = 0.65
we use Test Statistic (Z) for Single Proportion = P-Po/Sqrt(PoQo/n)
Zo=0.25-0.35/(Sqrt(0.2275)/60)
Zo =-1.624
| Zo | =1.624
Critical Value
The Value of |Z | at LOS 0.05% is 1.96
We got |Zo| =1.624 & | Z | =1.96
Make Decision
Hence Value of |Zo | < | Z | and Here we Do not Reject Ho
P-Value: Two Tailed ( double the one tail ) - Ha : ( P != -1.624 ) = 0.10438
Hence Value of P0.05 < 0.1044,Here We Do not Reject Ho

We don\'t have evidence to indicate taht shoppers fail in their attempt to purchase on-line differs from 35%