A Video Rental Store Wants to Know What Proportion of Its

question 21

Short Answer

A video rental store wants to know what proportion of its customers are under 21 years old. A simple random sample of 500 customers is taken, and 350 of them are under 21. Assume that the true population proportion of customers aged under 21 is 0.68. If another simple random sample of size 500 is taken, what is the probability that more than 70% of customers are under 21 years old?

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Definitions:

Chi-Squared Test

A statistical test used to examine differences between categorical variables in a contingency table, testing for independence or goodness of fit.

Nominal Variables

Variables that represent categories with no inherent order or rank among them.

Test Statistic

A figure derived from data within a sample during an empiric test, employed to determine the necessity of dismissing the null hypothesis.

Seat Belts

Equipment installed in vehicles to shield individuals from injurious motion during crashes or sudden stops.