A well-known brokerage firm executive claimed that 70% of investors are currently confident of meeting their investment goals. An XYZ Investor Optimism Survey, conducted over a two week period, found that in a sample of 500 people, 73% of them said they are confident of meeting their goals. Test the claim that the proportion of people who are confident is larger than 70% at the 0.025 significance level. The null and alternative hypothesis would be:

H0:0.7H0:0.7 H1:>0.7H1:>0.7 H0:=0.7H0:=0.7 H1:0.7H1:0.7 H0:p=0.7H0:p=0.7 H1:p0.7H1:p0.7 H0:p0.7H0:p0.7 H1:p<0.7H1:p<0.7 H0:p0.7H0:p0.7 H1:p>0.7H1:p>0.7 H0:0.7H0:0.7 H1:<0.7H1:<0.7 The test is:

right-tailed left-tailed two-tailed Correct The test statistic is: (to 3 decimals) The p-value is: (to 4 decimals) Based on this we:

• Fail to reject the null hypothesis
• Reject the null hypothesis