A large automobile insurance company selected samples of single and married male policyholders and recorded the number who made an insurance claim over the preceding three-year period. Single Policyholders Married Policyholders n1 = 900 n2 = 400 number making claims = 171 number making claims = 40 (a) Use α = 0.05. Test to determine whether the claim rates differ between single and married male policyholders. State the null and alternative hypotheses. (Let p1 = claim rate for single male policyholders and p2 = claim rate for married male policy holders.) H0: p1 − p2 ≠ 0 Ha: p1 − p2 = 0 H0: p1 − p2 = 0 Ha: p1 − p2 ≠ 0 H0: p1 − p2 > 0 Ha: p1 − p2 ≤ 0 H0: p1 − p2 ≤ 0 Ha: p1 − p2 > 0 H0: p1 − p2 ≥ 0 Ha: p1 − p2 < 0 Find the value of the test statistic. (Round your answer to two decimal places.) = Find the p-value. (Round your answer to four decimal places.) p-value = State your conclusion. Reject H0. We can conclude that there is a difference between claim rates. Do not reject H0. We can conclude that there is a difference between claim rates. Reject H0. We can not conclude that there is a difference between claim rates. Do not reject H0. We can not conclude that there is a difference between claim rates. (b) Provide a 95% confidence interval for the difference between the proportions for the two populations. (Round your answers to four decimal places.) ____ to ____
A large automobile insurance company selected samples of single and married male policyholders and recorded the number who made an insurance claim over the preceding three-year period. Single Policyholders Married Policyholders n1 = 900 n2 = 400 number making claims = 171 number making claims = 40 (a) Use α = 0.05. Test to determine whether the claim rates differ between single and married male policyholders. State the null and alternative hypotheses. (Let p1 = claim rate for single male policyholders and p2 = claim rate for married male policy holders.) H0: p1 − p2 ≠ 0 Ha: p1 − p2 = 0 H0: p1 − p2 = 0 Ha: p1 − p2 ≠ 0 H0: p1 − p2 > 0 Ha: p1 − p2 ≤ 0 H0: p1 − p2 ≤ 0 Ha: p1 − p2 > 0 H0: p1 − p2 ≥ 0 Ha: p1 − p2 < 0 Find the value of the test statistic. (Round your answer to two decimal places.) = Find the p-value. (Round your answer to four decimal places.) p-value = State your conclusion. Reject H0. We can conclude that there is a difference between claim rates. Do not reject H0. We can conclude that there is a difference between claim rates. Reject H0. We can not conclude that there is a difference between claim rates. Do not reject H0. We can not conclude that there is a difference between claim rates. (b) Provide a 95% confidence interval for the difference between the proportions for the two populations. (Round your answers to four decimal places.) ____ to ____
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Author:Amos Gilat
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A large automobile insurance company selected samples of single and married male policyholders and recorded the number who made an insurance claim over the preceding three-year period.
Single Policyholders | Married Policyholders |
---|---|
n1 = 900
|
n2 = 400
|
number making claims = 171 | number making claims = 40 |
(a) Use α = 0.05. Test to determine whether the claim rates differ between single and married male policyholders.
State the null and alternative hypotheses. (Let p1 = claim rate for single male policyholders and p2 = claim rate for married male policy holders.)
H0: p1 − p2 ≠ 0 Ha: p1 − p2 = 0
H0: p1 − p2 = 0 Ha: p1 − p2 ≠ 0
H0: p1 − p2 > 0 Ha: p1 − p2 ≤ 0
H0: p1 − p2 ≤ 0 Ha: p1 − p2 > 0
H0: p1 − p2 ≥ 0 Ha: p1 − p2 < 0
Find the value of the test statistic. (Round your answer to two decimal places.) =
Find the p-value. (Round your answer to four decimal places.)
p-value =
State your conclusion.
Reject H0. We can conclude that there is a difference between claim rates.
Do not reject H0. We can conclude that there is a difference between claim rates.
Reject H0. We can not conclude that there is a difference between claim rates.
Do not reject H0. We can not conclude that there is a difference between claim rates.
(b) Provide a 95% confidence interval for the difference between the proportions for the two populations. (Round your answers to four decimal places.)
____ to ____
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