Consumers with credit scores below 600 have a very difficult time getting approved for car or mortgage loans. In 2012, 24% of Americans had a credit score below 600.

Due to the recent financial crisis, the federal government is concerned that this proportion has increased. To test this hypothesis, a random sample of 250 Americans was chosen in 2014. From this sample, 67 people had credit scores less than 600. Using a = 0.10, answer the following questions:

a. Does this sample provide support for the government’s concern that the proportion of Americans with credit scores below 600 has increased since 2012?

b. Determine the p-value for this test.

c. Verify your results using PHStat.

AppendixLO1