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A bank is considering a marketing campaign that wouldurge parents of preschool children to start college savingsprogram, targeting families with annual incomes above$40,000. Bank officials will proceed with the campaignonly if it appears that at least 10% of such families mightbe interested. When a pilot test presented the campaign materials to a random sample of 200 parents, 26 ex-pressed some interest in the college savings plan. a) At the 5% level of significance, do these sampleresults provide evidence that the bank should pursuethe marketing campaign?b) Describe two ways that the bank could increase thepower of the test, and explain a disadvantage of each.

A bank is considering a marketing campaign that wouldurge parents of preschool children to start college savingsprogram, targeting families with annual incomes above$40,000. Bank officials will proceed with the campaignonly if it appears that at least 10% of such families mightbe interested. When a pilot test presented the campaign materials to a random sample of 200 parents, 26 ex-pressed some interest in the college savings plan. a) At the 5% level of significance, do these sampleresults provide evidence that the bank should pursuethe marketing campaign?b) Describe two ways that the bank could increase thepower of the test, and explain a disadvantage of each.

MATLAB: An Introduction with Applications
MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
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A bank is considering a marketing campaign that would
urge parents of preschool children to start college savings
program, targeting families with annual incomes above
$40,000. Bank officials will proceed with the campaign
only if it appears that at least 10% of such families might
be interested. When a pilot test presented the campaign
materials to a random sample of 200 parents, 26 ex-
pressed some interest in the college savings plan.
a) At the 5% level of significance, do these sample
results provide evidence that the bank should pursue
the marketing campaign?
b) Describe two ways that the bank could increase the
power of the test, and explain a disadvantage of each.
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