The Owner of a Small Clothing Store Is Concerned That

question 62

Essay

The owner of a small clothing store is concerned that only 28% of people who enter her store actually buy something. A
marketing salesman suggests that she invest in a new line of celebrity mannequins (think Seth Rogan modeling the latest
jeans…). He loans her several different "people" to scatter around the store for a two-week trial period. The owner carefully
counts how many shoppers enter the store and how many buy something so that at the end of the trial she can decide if she'll
purchase the mannequins. She'll buy the mannequins if there is evidence that the percentage of people that buy something
increases.
-Based on data that she collected during the trial period the store's owner found that a 98%
confidence interval for the proportion of all shoppers who might buy something was (27%,
35%). What conclusion should she reach about the mannequins? Explain.