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In a sample of 80 borrowers who borrowed less than $1,000 from an online instant lender, 19 repaid late while in a sample of 120
In a sample of 80 borrowers who borrowed less than $1,000 from an online instant lender, 19 repaid late while in a sample of 120 who borrowed over $1,000, 39 repaid late. Is there enough evidence to conclude that those who borrow less than $1,000 are less like likely to repay late? Test at o = 0.1. Standard Normal Distribution Table a. Calculate the test statistic. Let p, be the proportion for borrowers who borrowed less than $1,000 and po be those who borrowed over $1,000. 2 Round to two decimal places if necessary Enter 0 if normal approximation cannot be used b. Determine the critical value(5) for the hypothesis test. Round to two decimal places if necessary Enter 0 if normal approximation cannot be used c. Conclude whether to reject the null hypothesis or not based on the test statistic. O Reject Fail to Reject O Cannot Use Normal Approximation
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