An insurance company believs that smokers are at high risk of facing heart diseases than non-smokers in men over 50 years of age. Accordingly, it is considering offering discounts in premiums on its life insurance policies to non smokers. However, before the decision can be made, an analysis is undertaken to justify its claim that the smokers are at higher risk of heart disease than non-smokers. The company randomly selected 200 men which included 80 smokers and 1230 non-smokers. The survey indicated that 18 smokers suffered from heart disease and 15 non-smokers suffered from heart disease. At 5% significance level, can we justify the claim of the insurance company that smokers are at high risk of heart disease that non-smokers|

At risk not at risk

smoker 18 62

non-smoker 15 105