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Shoplifting in the United States costs retailers about $45 million a day. Despite the seriousness of the problem, the National Association of shoplifting Prevention (NASP)
Shoplifting in the United States costs retailers about $45 million a day. Despite the seriousness of the problem, the National Association of shoplifting Prevention (NASP) claims that only 50% of all shoplifters are turned over to police (www.shopliftingprevention.org). A random sample of 40 US retailers were questioned concerning the disposition of the most recent shoplifter they apprehended. A total of 24 were turned over to police. Do these data provide sufficient evidence to contradict the NASP?
- Conduct a hypothesis test to answer the question of interest. Use =.05.
- Is the sample size large enough to use the inferential procedure of part a?
- Find the observed significance level of the hypothesis test in part a. Interpret the value.
- For what values of would the observed significance level be sufficient to reject the null hypothesis of the test you conducted in part b?
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