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statistical analysis - Hypothesis Testing

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In a recent survey, 10 percent of the participants rated Pepsi as being "concerned with my health." PepsiCo's response included a new "Smart Spot" symbol on its products that meet certain nutrition criteria, to help consumers who seek more healthful eating options. At α = .05, would a follow-up survey showing that 18 of 100 persons now rate Pepsi as being "concerned with my health" prove that the percentage has increased? (Data are from The Wall Street Journal, July 30, 2004.)

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Solution Summary

This solution conducts a statistical analysis on the survey results of the 'Smart Spot' symbol by using a decision rule, calculating the test statistic and comparing it to p-value and finally making a decision to accept or reject the null hypothesis.

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