A sample of 500 observations taken from the first population gave x1 = 305. Another sample of
600 observations taken from the second population gave x2 = 348.
a. Find the point estimate of p1 – p2.
b. Make a 97% confidence interval for p1 – p2.
c. Show the rejection and non-rejection regions on the sampling distribution of p1 – p2 for H0: p1 – p2 versus H1: p1 > p2. Use a significance level of 2.5%.
d. Find the value of the test statistic z for the test of part c.
e. Will you reject the null hypothesis mentioned in part c at a significance level of 2.5%?