Question: Over the past year an audio store has sold stereo
Over the past year, an audio store has sold stereo systems produced by three different manufacturers. Of the 400 units from company A, 12% were returned for service during the warranty period. This compares to 15% of 300 units from company B, and 16% of 500 from company C. Assuming that the store’s sales are a representative sample of the stereo systems produced by the three manufacturers, use the 0.025 level of significance in testing whether the population percentages of warranty service returns could be equal.
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