Problem 7.1.2 According to the February 2008 Federal Trade Commission report on consumer fraud and identity theft, 23% of all complaints in 2007 were for identity theft. In that year, Alaska had 321 complaints of identity theft out of 1,432 consumer complaints ("Consumer fraud and," 2008). Does this data provide enough evidence to show that Alaska had a lower proportion of identity theft than 23%? Complete the hypothesis test. Be sure to consult the Rubric to ensure you have included all required info. Random Variable: number of identity theft complaints in Alaska Parameter: proportion of consumer complaints in Alaska that are for identity theft Hypotheses and level of significance Null Hypothesis (h0): p = 0.23 Alternative Hypothesis (hA): p<0.23 Level of significance (a): 0.05 Provide 3D diagram from hypothesis & provide hand drawn three-distribution diagram Assumptions sample size is large enough random sample of complaints and independent observations R script and result: 1 n < 1432 2 x <- 321 3 p < 0.23 4 p_hat

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Problem 7.1.2
According to the February 2008 Federal Trade Commission report on consumer fraud and identity
theft, 23% of all complaints in 2007 were for identity theft. In that year, Alaska had 321 complaints of
identity theft out of 1,432 consumer complaints ("Consumer fraud and," 2008). Does this data provide
enough evidence to show that Alaska had a lower proportion of identity theft than 23%? Complete the
hypothesis test. Be sure to consult the Rubric to ensure you have included all required info.
Random Variable: number of identity theft complaints in Alaska
Parameter: proportion of consumer complaints in Alaska that are for identity theft
Hypotheses and level of significance
Null Hypothesis (h0): p = 0.23
Alternative Hypothesis (hA): p<0.23
Level of significance (a): 0.05
Provide 3D diagram from hypothesis & provide hand drawn three-distribution
diagram
Assumptions
sample size is large enough
random sample of complaints and independent observations
R script and result:
1 n < 1432
2 x <- 321
3 p < 0.23
4 p_hat <x/n
5 SE
sqrt(p* (1-p)/n)
6 Z<(p_hat - p) / SE
7 p_value <- pnorm(Z)
8 cat("Sample proportion:", p_hat, "\nStandard Error:", SE, "\nZ-score:", Z, "\nP-value:", p_value)
Transcribed Image Text:Problem 7.1.2 According to the February 2008 Federal Trade Commission report on consumer fraud and identity theft, 23% of all complaints in 2007 were for identity theft. In that year, Alaska had 321 complaints of identity theft out of 1,432 consumer complaints ("Consumer fraud and," 2008). Does this data provide enough evidence to show that Alaska had a lower proportion of identity theft than 23%? Complete the hypothesis test. Be sure to consult the Rubric to ensure you have included all required info. Random Variable: number of identity theft complaints in Alaska Parameter: proportion of consumer complaints in Alaska that are for identity theft Hypotheses and level of significance Null Hypothesis (h0): p = 0.23 Alternative Hypothesis (hA): p<0.23 Level of significance (a): 0.05 Provide 3D diagram from hypothesis & provide hand drawn three-distribution diagram Assumptions sample size is large enough random sample of complaints and independent observations R script and result: 1 n < 1432 2 x <- 321 3 p < 0.23 4 p_hat <x/n 5 SE sqrt(p* (1-p)/n) 6 Z<(p_hat - p) / SE 7 p_value <- pnorm(Z) 8 cat("Sample proportion:", p_hat, "\nStandard Error:", SE, "\nZ-score:", Z, "\nP-value:", p_value)
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