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You are studying whether there are racial disparities in approval of mortgage applications in your city. You convince one bank to look at this issue:

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You are studying whether there are racial disparities in approval of mortgage applications in your city. You convince one bank to look at this issue: the manager draws a random sample of 26 applications and scores them according to applicant race, and whether the application was approved or not. Application Approved? Race of applicant Black White Totals Yes 6 7 13 No 4 9 13 Totals 10 16 26 In the sample, which group was more likely to be approved? Compute approval rates for each of the two groups of applicants. Conduct a statistical test to determine whether the racial disparity in approval rates s statistically significant

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