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A software firm survey of 676 randomly selected adults showed that 99.7​% of them would erase all of their personal information online if they could. Make a subjective estimate to decide whether the results are significantly low or significantly​ high, then state a conclusion about the original claim.

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Answer:

since P-value is less than the significance level , we reject the null hypothesis and conclude that the results are significantly high enough and there is enough evidence to support the claim that most adults will erase all of their personal information online if they could

Explanation:

We proceed as follows;

Firstly, we set up the null and the alternative hypotheses

The null hypothesis H0: The proportion of adults who would erase all of their personal information online is 50 %. That is p = 0.5.

The alternative hypothesis H1: The proportion of adults who would erase all of their personal information online is greater than 50 %. That is p > 0.5.

Given, Proportion, p = 99.7% = 99.7/100 = 0.997

Mathematically;

Standard error of proportion, SE

= √(p(1-p)/n) = √(0.997(1-0.997)/676) = 0.0021

Now we proceed to calculate the test statistic;

Mathematically;

Test statistic, z = (observed proportion - hypothesized proportion)/ SE

= (0.997 - 0.5) / 0.0021 = 236.67

P-value for z = 236.67 is given as,

P(Z > 236.67) = 1

since P-value is less than the significance level , we reject the null hypothesis and conclude that the results are significantly high enough and there is enough evidence to support the claim that most adults will erase all of their personal information online if they could

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