A rent-to-own agreement allows the renter to either return the merchandise after a specified period of time or apply the monthly payments toward purchasing the item(s) (or clearly, the renter could default on the agreement). A rent-to- own company reports that nationally 61% of the agreements result in the merchandise being returned, 27% of the agreements result in the merchandise being purchased, and the remaining agreements are defaulted on (consumer does not make required payments specified in the contract). At a local rent-to-own company, a sample of 227 agreements finds that 113 result in the merchandise being returned, 75 agreements result in the merchandise being purchased and the remaining agreements are defaulted upon. When testing (at the 5% level of significance) whether the proportions of the local company are different than the proportions nationally, what is the test statistic (please round your answer to 3 decimal places)
A rent-to-own agreement allows the renter to either return the merchandise after a specified period of time or apply the monthly payments toward purchasing the item(s) (or clearly, the renter could default on the agreement). A rent-to- own company reports that nationally 61% of the agreements result in the merchandise being returned, 27% of the agreements result in the merchandise being purchased, and the remaining agreements are defaulted on (consumer does not make required payments specified in the contract). At a local rent-to-own company, a sample of 227 agreements finds that 113 result in the merchandise being returned, 75 agreements result in the merchandise being purchased and the remaining agreements are defaulted upon. When testing (at the 5% level of significance) whether the proportions of the local company are different than the proportions nationally, what is the test statistic (please round your answer to 3 decimal places)
Chapter9: Sequences, Probability And Counting Theory
Section9.4: Series And Their Notations
Problem 5SE: What is an annuity?
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Transcribed Image Text:A rent-to-own agreement allows the renter to either return the merchandise after a specified period of time or apply
the monthly payments toward purchasing the item(s) (or clearly, the renter could default on the agreement). A rent-to-
own company reports that nationally 61% of the agreements result in the merchandise being returned, 27% of the
agreements result in the merchandise being purchased, and the remaining agreements are defaulted on (consumer
does not make required payments specified in the contract). At a local rent-to-own company, a sample of 227
agreements finds that 113 result in the merchandise being returned, 75 agreements result in the merchandise being
purchased and the remaining agreements are defaulted upon. When testing (at the 5% level of significance) whether
the proportions of the local company are different than the proportions nationally, what is the test statistic (please
round your answer to 3 decimal places)
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