Answer is b) -.08. Can you please explain how to do it? Do out-of-state motorist

Question

Answer is b) -.08. Can you please explain how to do it?

Do out-of-state motorists violate the speed limit more frequently than in-state motorists? This vital question was addressed by the highway patrol in a large eastern state. A random sample of the speeds of 2,500 randomly selected cars was categorized according to whether the car was registered in the state or in some other state and whether or not the car was violating the speed limit. The data follow. What is the numerator of the test statistic to compare these two proportions? Assume group 1 is In State Cars. Speeding Not speeding In State Cars 521 1141 Out of State Cars 328 510 a) -0.19 b) -0.08 c) -0.16 d) -0.44 e) 1.64

Explanation / Answer

Numerator of test statistic would be the difference between these two proportions which are we going to compare.

Here

p2^ = 328/(328 + 510) = 0.3914

p1^= 521/ (521 + 1141) = 0.3135

so

Numerator = (p^1 - p^2) = (0.3135 - 0.3914) = -0.0779 or -0.08

Option B is correct.

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