Mega-corp International is a large manufacturing company, which has tens of thousands of employees. The

company knows that 30% of its employees are members of a labor union.

A junior executive for the company was

assigned to take a simple random sample of 300 of the company's employees. He reported that 40% of the sampled

employees were members of a labor union. His department head was skeptical and stated "We know that 30% of all

employees are in labor unions, so I don't see how you could take a random sample of 300 employees and find that 40%

of them are in the unions. I think you either made an error in taking your sample or you simply faked your data." The

junior executive replied that this is just an example of random sampling variability.

Is the junior executive correct that this result is reasonable based on random sampling variability? Or is the department

head correct and it is unreasonable to think that we would get such a random sample. Explain your logic.