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One-sample test of hypothesis for proportions

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The Web-based company Oh Baby! Gifts has a goal of processing 95 percent of its orders on the same day they are received. If 485 out of the next 500 orders are processed on the same day, would this prove that they are exceeding their goal, using alpha = .025?

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Solution Summary

Tests the hypothesis that a company is exceeding its goal of processing 95 percent of its orders on the same day.

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The Web-based company Oh Baby! Gifts has a goal of processing 95 percent of its orders on the same day they are received. If 485 out of the next 500 orders are processed on the same day, would this prove that they are exceeding their goal, using alpha (a) = .025?

Data
Hypthesized proportion= 95%
Sample proportion= 97% =485/500
Sample size= 500
Significance level= 0.025

1) Hypothesis
Null Hypothesis: Ho: p = 95% (:Proportion is 95.%)
Alternative ...

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