Test the claim that the proportion of people who own cats is smaller than 40% at the 0.025 significance level.
The null and alternative hypotheses would be:
H0: p = 0.4
Ha: p < 0.4
The test is:
left-tailed
Based on a sample of 800 people, 31% owned cats.
The test statistic is:
The p-value is:
Based on this, we:
- Reject the null hypothesis
- Fail to reject the null hypothesis