Use the Traditional Method to Test the Given Hypothesis

question 73

Essay

Use the traditional method to test the given hypothesis. Assume that the samples are independent and that they have been randomly selected
-In a random sample of 500 people aged 20-24, 22% were smokers. In a random sample of 450 people aged 25-29, 14% were smokers. Test the claim that the proportion of smokers in the two age groups is the same. Use a significance level of 0.01.

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Definitions:

Liabilities

Financial obligations owed by a business to others, such as loans, accounts payable, mortgages, deferred revenues, or bonds.

Common Shares

Equity securities that represent ownership interests in a corporation, entitling holders to dividends and voting rights depending on the number of shares held.

Retained Earnings

The portion of a business's profits not distributed to shareholders as dividends but retained by the company for reinvestment or to pay debt.

Dividends Declared

The announcement by a company’s board of directors of the payment of a specified amount per share to its shareholders, to be paid on a certain date.