In Testing the Hypotheses:
H₀: P₁ - P₂ = 0 $\neq$

question 9

Essay

In testing the hypotheses:
H₀: p₁ - p₂ = 0.10
H₁ : p₁ - p₂ ? $\neq$ 0.10,
we find the following statistics:
n₁ = 150, x₁ = 72.
n₂ = 175, x₂ = 70.
a. Estimate with 95% confidence the difference between the two population proportions.
b. Explain how to use the confidence interval in part a. to test the hypotheses.

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Definitions:

Confidence Interval

A range of values, derived from sample statistics, that is likely to contain the value of an unknown population parameter.

Population Mean

The average of a set of characteristics (numeric values) in a population; a parameter that describes the central location of the data.

Sample Mean

The average of all data points in a sample, used as an estimate of the population mean.

Unbiased Estimators

Statistical estimators whose expected value is equal to the parameter being estimated.