A recent study by Consumer Reports showed that 64% of

A recent study by Consumer Reports showed that 64% of supermarket shoppers believed that supermarket brands are as good as national brands. To test this claim, the manufacturer of a national name brand ketchup took a sample of 100 shoppers and found that 52% stated that supermarket brands were as good as the national brand.

A. Formulate the hypotheses required to test whether the percentage of shoppers who believe supermarket were as good as national brands was less than 64%.

B. What is the appropriate test statistic? __________ Explain your answer.

C. State the decision rule, and sketch the showing the region(s) of acceptance and rejection.

D. State the statistical Decision. Show supporting calculations.

E. What recommendations would you make to the Ketchup manufacturer concerning the based on the results of the survey?

 

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