salesman for a new manufacturer of cellular phones claims not only that they cost the retailer less but also that the percentage of defective cellular phones found among his products, ( p1), will be no higher than the percentage of defectives found in a competitor's line, ( p2). To test this statement, the retailer took a random sample of 205of the salesman's cellular phones and 155of the competitor's cellular phones. The retailer found that 24 of the salesman's cellular phones and 88 of
salesman for a new manufacturer of cellular phones claims not only that they cost the retailer less but also that the percentage of defective cellular phones found among his products, ( p1), will be no higher than the percentage of defectives found in a competitor's line, ( p2). To test this statement, the retailer took a random sample of 205of the salesman's cellular phones and 155of the competitor's cellular phones. The retailer found that 24 of the salesman's cellular phones and 88 of the competitor's cellular phones were defective. Does the retailer have enough evidence to reject the salesman's claim? Use a significance level of α=0.05 for the test.
Find the values of the two sample proportions, pˆ1 and pˆ2 Round your answers to three decimal places.
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