Additional Information and Full Hypothesis Test Examples · Example 5

Suppose a consumer group suspects that the proportion of households that have three cell phones is 30 percent. A cell phone company has reason to believe that the proportion is not 30 percent. Before the cell phone company starts a big advertising campaign, it conducts a hypothesis test. The company's marketing people survey 150 households with the result that 43 of the households have three cell phones.
(a) The value that helps determine the p-value is p′. Calculate p′.
(b) What is a success for this problem?
(c) What is the level of significance?
(d) Draw the graph for this problem. Draw the horizontal axis. Label and shade appropriately.
Calculate the p-value.
(e) Make a decision. _____________(Reject/Do not reject) H_0 because____________.

OpenStax, Statistics · §9.5 Additional Information and Full Hypothesis Test Examples · Example 5