Recall that Benford's Law claims that numbers chosen from very large data files tend to have "1" as the first nonzero digit disproportionately often. In fact, research has shown that if you randomly draw a number from a very large data file, the probability of getting a number with "1" as the leading digit is about 0.301. Now suppose you are the auditor for a very large corporation. The revenue file contains millions of numbers in a large computer data bank. You draw a random sample of n = 225 numbers from this file and r = 85 have a first
Recall that Benford's Law claims that numbers chosen from very large data files tend to have "1" as the first nonzero digit disproportionately often. In fact, research has shown that if you randomly draw a number from a very large data file, the probability of getting a number with "1" as the leading digit is about 0.301. Now suppose you are the auditor for a very large corporation. The revenue file contains millions of numbers in a large computer data bank. You draw a random sample of n = 225 numbers from this file and r = 85 have a first nonzero digit of 1. Let p represent the population proportion of all numbers in the computer file that have a leading digit of 1
A-What is the value of the sample test statistic? (Round your answer to two decimal places.)
B-Find the P-value of the test statistic. (Round your answer to four decimal places.)
Given that
The Population proportion is =0.301
Sample size (n)=225
The number of first non zero digit of 1 (r)=85
Significance level=0.05
Then we have to find sample test statistic and p value of the test statistic:
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