A company surveyed 2200 men where 1078 of the men identified themselves as the primary grocery shopper in their household.
a) Estimate the percentage of all males who identify themselves as the primary grocery shopper. Use a 98% confidence interval. Check the conditions first.
b) A grocery store owner believed that only 43% of men are the primary grocery shopper for their family, and targets his advertising accordingly. He wishes to conduct a hypothesis test to see if the fraction is in fact higher than 43%. What does your confidence interval indicate? Explain.
c) What is the level of significance of this test? Explain.
b) What does the confidence interval say about the grocery store owner's hypothesis?
Because 43 % is not in the interval we have strong evidence that more than 43 % of men identify themselves as the primary grocery shopper.
c) Determine the level of significance of the hypothesis test in the previous part and justify it. Select the correct choice below and fill in the answer box to complete your choice.
A. The level of significance is Ě‘ = . Since the grocery store owner's test is two-tailed, we have to halve the area in the tails of the confidence interval.
B. The level of significance is Ě‘ = . Since the grocery store owner's test is one-tailed, we have to halve the area in the tails of the confidence interval.
C. The level of significance is Ě‘ = . Since the grocery store owner's test is one-tailed, the level of significance is equal to the area not covered by the confidence interval.
D. The level of significance is Ě‘ = . Since the grocery store owner's test is two-tailed, the level of significance is equal to the area not covered by the confidence interval.