Question

Use the given information to state the conclusion about the null hypothesis H0. Assume a significance level of 0.01. Original​ claim: The percentage of settled medical malpractice suits is.at least 50% The hypothesis test results in a P-value of 0.012.

Answer 1

Answer: We reject the null hypothesis.

Explanation:

Given : Significance level :
`\alpha=0.01`

Let p represents the proportion of the settled medical malpractice suits.

Given claim : The percentage of settled medical malpractice suits is at least 50%.

i.e.
`p\geq 0.5`

Thus,

`H_0:p\geq0.5\\\\H_a:p<0.5`

We know that when the calculated p-value is less than the significance level (
`\alpha`) then we reject the null hypothesis, if p-value is greater than the significance level (
`\alpha`) then we do not reject.

Now , the calculated value 0.012 is less than the 0.01, so we reject the null hypothesis.