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The personnel director of a large insurance company is interested in reducing th

ID: 3397455 • Letter: T

Question

The personnel director of a large insurance company is interested in reducing the turnover rate of data processing clerks in the first year of employment. Past records indicate that 25 percent of all new hires in this area are no longer employed at the end of one year. Extensive new training approaches are implemented for a sample of 150 new data processing clerks. At the end of a one-year period, 29 of these 150 individuals are no longer employed. At the .01 level of significance, is there evidence that the proportion of data processing clerks who have gone through the new-training and arc no longer employed is less than .25? If not, does personnel need to review and possibly revise its new training approach?

Explanation / Answer

The personnel director of a large insurance company is interested in reducing th

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