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MCQs: Two sample z test for Proportion

Exhibit 10-11
An insurance company selected samples of clients under 18 years of age and over 18 and recorded the number of accidents they had in the previous year. The results are shown below.

Under Age of 18 Over Age of 18
n1 = 500 n2 = 600
Number of accidents = 180 Number of accidents = 150

We are interested in determining if the accident proportions differ between the two age groups

20.)Refer to Exhibit 10-11 and let pu represent the proportion under and po the proportion over the age of 18. The null hypothesis is
a. pu - po â?¤ 0
b. pu - po â?¥ 0
c. pu - po â?  0
d. pu - po = 0

21.)Refer to Exhibit 10-11. The pooled proportion is
a. 0.305
b. 0.300
c. 0.027
d. 0.450

22.)Refer to Exhibit 10-11. The test statistic is
a. 0.96
b. 1.96
c. 2.96
d. 3.96

Solution Summary

The solution provides answers to multiple choice questions on two sample z test for Proportion. Formula for the calculation and Interpretations of the results are also included.

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