00:01
Okay, so we want to test if the percentage of employees under the age of 25 who have contributions, who've made contributions to their pension plan is more than 44%.
00:11
So the null hypothesis is going to be that the proportion of them who've done so is equal to 44 % and the alternative hypothesis is going to be that it's more than 44%.
00:21
That's what we're testing.
00:25
Part b says at the alpha equals 0 .01 level of significance, is there evidence that the percentage of employees is more? so that's basically saying conduct the test.
00:36
So to do conduct the test, we're going to find the test statistic, which is the sample proportion minus the proportion under the null hypothesis, divided by the proportion under the null hypothesis times one minus itself, divided by the sample size.
00:55
Our p hat is, we said that 167 out of 340 had done in the sample.
01:04
And if we compute that test statistic, we find that we get 1 .901.
01:10
The p value for this t value with 339 degrees of freedom is 0 .029075.
01:34
And this is bigger than our significance level of 0 .01...