Question

Suppose a random sample of 90 companies taken in 2006 showed that 14 offered​ high-deductible health insurance plans to their workers. A separate random sample of 120 firms taken in 2007 showed that 30 offered​ high-deductible health insurance plans to their workers. Based on the sample​ results, can you conclude that there is a higher proportion of companies offering​ high-deductible health insurance plans to their workers in 2007 than in 2006​? Conduct your hypothesis test at a level of significance alphaequals0.01.

Answer 1

Explanation:

Given that a random sample of 90 companies taken in 2006 showed that 14 offered​ high-deductible health insurance plans to their workers. A separate random sample of 120 firms taken in 2007 showed that 30 offered​ high-deductible health insurance plans to their workers.

H0: p1=p2

Ha: p1 <p2

(Two tailed test at99%)

Difference 14.44 %

Chi-squared 5.883

DF 1

Significance level P = 0.0153

Since p >0.01, our alpha reject null hypothesis.

NO. Based on the sample​ results, you can not conclude that there is a higher proportion of companies offering​ high-deductible health insurance plans to their workers in 2007 than in 2006