9.77 Interest charges on credit card A bank wants to evaluate which credit card would be more attractive to its customers, one with a high interest rate for unpaid balances but no annual cost or one with a low interest rate for unpaid balances but an annual cost of $40. For a random sample of 100 of its 52,000 customers, 40 say they prefer the one that has an annual cost. Software reports the following:

Explain how to interpret all results on the printout. What would you tell the company about what the majority of its customers prefer?

Transcribed Image Text:

Test of p = 0.50 vs p not = 0.50 X N Sample p 95.0 % CI Z-Value P-Value 40 100 0.40000 (0.304,0.496) -2.00 0.04550