For a job selling magazine subscriptions door-to-door. He is paid on commission
ID: 3318788 • Letter: F
Question
For a job selling magazine subscriptions door-to-door. He is paid on commission and was assured that 1/3 of all households on average would buy a subscription from him. He quickly got the impression that the success rate had been overstated. He kept track of how many households he contacted and found that in 20 households he contacted he only got 4 sales.
A. Perform a test of hypothesis to determine if the success rate had been overstated using =0.05 . You can assume that the sample of households he contacted were randomly selected (which is not really true, but a necessary condition to run this test.) If you find that the success rate has been overstated, my friend will quit his job.
B. State the Type I and Type II errors, in context, that could have been committed when performing this test. Which error would be worse from the vantage point of my friend? Based on the results of your test, which error might you have made?
Explanation / Answer
a)
b)
p= 0.33 n= 20 x= 4 phat= x/n 0.2Related Questions
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