It has been claimed that at UCLA at least 40 of the students

It has been claimed that at U.C.L.A. at least 40% of the students live on campus. From a sample of 250 students, 90 live on campus. Does the evidence support this claim at Alpha = 0.01 ?

Solution

H0: P=P0

H1:P>P0

P0=0.4

P=90/250

Z=P-P0/sqrt(P0Q0/n)

z=-1.29

p is 0.9016, hence we accept H0.