§ LESSON 12

Hypothesis Testing for

Proportions
 z-Test for a Population Proportion
The z-test for a population is a statistical test for a population
proportion. The z-test can be used when a binomial distribution is
given such that np  5 and nq  5.

The test statistic is the sample proportion and p̂

the standardized test
statistic is z.

Larson & Farber, Elementary Statistics: Picturing the World, 3e 2

CRITICAL VALUES

Larson & Farber, Elementary Statistics: Picturing the World, 3e 3

 Hypothesis Test for Proportions
Using a z-Test for a Proportion p
Verify that np  5 and nq  5.
In Words In Symbols
1. State the claim mathematically and State H0 and Ha.
verbally. Identify the null and
alternative hypotheses.
2. Specify the level of significance. Identify .
3. Sketch the sampling distribution.
4. Determine any critical values. Use Table 4 in
Appendix B.

Continued.
Larson & Farber, Elementary Statistics: Picturing the World, 3e 4
 Hypothesis Test for Proportions
Using a z-Test for a Proportion p
Verify that np  5 and nq  5.
In Words In Symbols
5. Determine any rejection regions.
6. Find the standardized test statistic. p̂  p
z 
7. Make a decision to reject or fail to pq n
reject the null hypothesis. If z is in the rejection
region, reject H0.
8. Interpret the decision in the context of
Otherwise, fail to reject
the original claim.
H0.

Larson & Farber, Elementary Statistics: Picturing the World, 3e 5

 Hypothesis Test for Proportions
Example:
Statesville college claims that more than 94% of their graduates
find employment within six months of graduation. In a sample
of 500 randomly selected graduates, 475 of them were
employed. Is there enough evidence to support the college’s
claim at a 1% level of significance?

STEP 1:
Verify that the products np and nq are at least 5.
np = (500)(0.94) = 470 and nq = (500)(0.06) = 30

H0: p  0.94 Ha: p > 0.94 (Claim)

Continued.
Larson & Farber, Elementary Statistics: Picturing the World, 3e 6
 Hypothesis Test for Proportions
Example continued: H0: p  0.94 Ha: p > 0.94 (Claim)
Statesville college claims that more than 94% of their graduates
find employment within six months of graduation. In a sample
of 500 randomly selected graduates, 475 of them were
employed. Is there enough evidence to support the college’s
claim at a 1% level of significance?

STEP 2:
Because the test is a right-tailed test and  = 0.01, the critical value is
2.33.

0 2.33 z
Continued.
Larson & Farber, Elementary Statistics: Picturing the World, 3e 7
STEP 3:
p̂  p
z 
pq n

0.95  0.94

(0.94)(0.06) 500
 0.94 Test statistic

Larson & Farber, Elementary Statistics: Picturing the World, 3e 8

 Hypothesis Test for Proportions
Example continued: H0: p  0.94 Ha: p > 0.94 (Claim)
Statesville college claims that more than 94% of their graduates
find employment within six months of graduation. In a sample
of 500 randomly selected graduates, 475 of them were
employed. Is there enough evidence to support the college’s
claim at a 1% level of significance?

STEP 3: STEP 4:

The test statistic falls in the

0 2.33 z nonrejection region, so H0 is
z  0.94 not rejected.

STEP 5:
At the 1% level of significance, there is not enough evidence to support the college’s claim.
Larson & Farber, Elementary Statistics: Picturing the World, 3e 9
 Hypothesis Test for Proportions
Example:
A cigarette manufacturer claims that one-eighth of the US adult
population smokes cigarettes. In a random sample of 100 adults,
5 are cigarette smokers. Test the manufacturer's claim at  =
0.05.
STEP 1:
Verify that the products np and nq are at least 5.
np = (100)(0.125) = 12.5 and nq = (100)(0.875) = 87.5
H0: p = 0.125 (Claim) Ha: p  0.125
STEP 2:
Because the test is a two-tailed test and  = 0.05, the critical
values are ± 1.96. Continued.
Larson & Farber, Elementary Statistics: Picturing the World, 3e 10
 Hypothesis Test for Proportions
Example continued: H0: p = 0.125 (Claim) Ha: p  0.125
A cigarette manufacturer claims that one-eighth of the US adult
population smokes cigarettes. In a random sample of 100 adults, 5
are cigarettes smokers. Test the manufacturer's claim at  = 0.05.

STEP 3 :
The test statistic is
p̂  p  0.05  0.125
z 
pq n (0.125)(0.875) 100
 2.27

Larson & Farber, Elementary Statistics: Picturing the World, 3e 11

 Hypothesis Test for Proportions
Example continued: H0: p = 0.125 (Claim) Ha: p  0.125
A cigarette manufacturer claims that one-eighth of the US adult
population smokes cigarettes. In a random sample of 100 adults, 5
are cigarettes smokers. Test the manufacturer's claim at  = 0.05.

STEP 3 : STEP 4 :
The test statistic is 2.27
p̂  p  0.05  0.125 z
z  z0 = 1.96 0 z0 = 1.96
pq n (0.125)(0.875) 100
Reject H0.
 2.27
STEP 5 :
At the 5% level of significance, there is enough evidence to reject the claim that
one-eighth of the population smokes.
Larson & Farber, Elementary Statistics: Picturing the World, 3e 12
 EXERCISES

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 EXERCISES

Larson & Farber, Elementary Statistics: Picturing the World, 3e 14

ASYNCHRONOUS ACT

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