4. Insurance companies have stated that 55% of car crashes occur within 5 miles of home. Records...
Question:
4. Insurance companies have stated that 55% of car crashes occur within 5 miles of home. Records were obtained for 500 car crashes and showed that 385 of those 500 had occurred within 5 miles of home. A test of the claim that more than 55% of car crashes occur within 5 miles of home results in a p-value of <0.0001.
a. Write the null and alternative hypothesis that is being tested. (2 points)
b. Based on the p-value with alpha=0.05, our conclusion would be (Check one):
_____ We would reject the null hypothesis and conclude that more than 55% of all car crashes occur within 5 miles of home, based on information from this sample
_____ We would fail to reject the null hypothesis and conclude that the majority of all car crashes occur within 5 miles of home
_____We cannot make a decision since we do not known the rejection region.
Statistical Reasoning for Everyday Life
ISBN: 978-0321817624
4th edition
Authors: Jeff Bennett, Bill Briggs, Mario F. Triola