rc-cole soda, inc. claims that 20 percent of the population can identify its pro
ID: 3023297 • Letter: R
Question
rc-cole soda, inc. claims that 20 percent of the population can identify its products. in efforts to boost their identity, rc-cola employs a famous spokesperson to advertise. a survey is then taken to assess the results of the ad campaign. the results show that 21 percent of the 1000 respondents can identify rc- cola products. has the advertising campaign made any difference in the product identity ? use the 0.05 significance level.
A.State the null and alternate hypothesis
B. state the decision rule.
C. compute the value of the test statistic.
D. estimate the p-value.
E. what is your decision regarding the null hypothesis? interpret the result.
Explanation / Answer
A.
Set Up Hypothesis
Null, H0:P=0.2
Alternate, H1: P!=0.2
B.
Rejecct Ho, if Z cal>1.96, Z<-1.96
C.
Test Statistic
Number of objects in a sample provided(n)=1000
No. Of Success Rate ( P )= x/n = 0.21
Success Probability ( Po )=0.2
Failure Probability ( Qo) = 0.8
we use Test Statistic (Z) for Single Proportion = P-Po/Sqrt(PoQo/n)
Zo=0.21-0.2/(Sqrt(0.16)/1000)
Zo =0.7906
| Zo | =0.7906
D.
P-Value: Two Tailed ( double the one tail ) - Ha : ( P != 0.79057 ) = 0.4292
E.
Critical Value
The Value of |Z | at LOS 0.05% is 1.96
We got |Zo| =0.791 & | Z | =1.96
Make Decision
Hence Value of |Zo | < | Z | and Here we Do not Reject Ho
advertising campaign made no difference in the product identity
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.