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A local police chief claims that about 51% of all drug related arrests are ever prosecuted. A sample of 900 arrests shows that 47% of the arrests were prosecuted. Is there sufficient evidence at the 0.01 level to refute the chief's claim? State the null and alternative hypotheses for the above scenario.

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Answer:

The null hypothesis is
H_0: p = 0.51.

The alternate hypothesis is
H_1: p \\eq 0.51.

The p-value of the test is 0.0164 > 0.01, which means that there is not sufficient evidence at the 0.01 level to refute the chief's claim.

Explanation:

A local police chief claims that about 51% of all drug related arrests are ever prosecuted

At the null hypothesis, we test if the proportion is of 51%, that is:


H_0: p = 0.51

At the alternate hypothesis, we test if the proportion is different from 51%, that is:


H_1: p \\eq 0.51

The test statistic is:


z = (X - \mu)/((\sigma)/(√(n)))

In which X is the sample mean,
\mu is the value tested at the null hypothesis,
\sigma is the standard deviation and n is the size of the sample.

0.51 is tested at the null hypothesis:

This means that
\mu = 0.51, \sigma = √(0.51*0.49)

A sample of 900 arrests shows that 47% of the arrests were prosecuted.

This means that
n = 900, X = 0.47


z = (X - \mu)/((\sigma)/(√(n)))


z = (0.47 - 0.51)/((√(0.51*0.49))/(√(900)))


z = -2.4

P-value of the test:

Probability that the sample proportion differs from 0.51 by at least 0.04, which is P(|z|>2.4), which is 2 multiplied by the p-value of Z = -2.4.

Looking at the z-table, the Z = -2.4 has a p-value of 0.0082.

2*0.0082 = 0.0164.

The p-value of the test is 0.0164 > 0.01, which means that there is not sufficient evidence at the 0.01 level to refute the chief's claim.

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