If it is known that 25% of certain steel rods produced by a standard process will break
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If it is known that 25% of certain steel rods produced by a standard process will break when subjected to a load of 5000 lb, can we claim that a new, less expensive process yields the same breakage rate if we find that in a sample of 80 rods produced by the new process, 27 rods broke when subjected to that load? (Use α = 5%)
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