that if you randomly draw a number from a very large data file, the probability

Question

that if you randomly draw a number from a very large data file, the probability of getting a number with 1 as the auditor for a very large corporation. The revenue file contains millions of numbers in a large computer data bank You draw a random sample of . 224 umbers from this fie and r - 86 have a first nonzero digit of 1. Let p represent the population proportion of all numbers in the computer fle that have a leading digit of leading digit is about 0.301. Now suppose you are the (i) Test the claim that is more than 0.301. Use ?-0.10. (a) What is the level of significance? 0.10 ??, ?-0.301; HI : p 0.301 Ho: p 0.301; Hs: p S and ng> 5 The Student's t, since np 5 and nq

Explanation / Answer

Here part (i) (a) to part(e) is correct.

For part (ii) ,OPtion (a) is correct as there seems to be too many entries with a leading digit 1.

for part (iii), As we know that we rejected the null hypothesis on the basis of given significance level alpha. So, it doesn't always mean that null hypothesis is false. It means that there is alpha probabiity that we did a mistake in rejecting the null hypothesis.

So here option d is correct as we have not proved H0 to be false, Becuase our data leads us to reject the null hypothesis, more investigation is merited.

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