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Hypothesis Testing & Confidence Intervals

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Question: A survey of 100 mayonnaise purchasers showed 65 were loyal to one brand. Whereas a survey of 100 bath soap purchasers showed only 53 were loyal to one brand.

a) Perform a two tailed test at alpha = .05

b) Form a confidence interval for the difference of proportions, without pooling the samples. Does it include 0?

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Solution Summary

This solution provides a step-by-step method for the calculation of the Z test for the two populations in question and the confidence interval. Formulas for the calculations and an interpretation of the results are also included. An interactive excel sheet is included, the user can edit the inputs and obtain the complete results for a new set of data in the future. A Word document is also included which contains the complete solution with written interpretations regarding the results found.

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