A company claims that 10% of the users of a certain allergy drug experience drowsiness. In clinical studies of this allergy drug, 81 of the 900 subjects experienced drowsiness
a. We want to test their claim and find out whether the actual percentage is not 10%. State the appropriate null and hypotheses.

b. Is there enough evidence at the 5% significance level to infer that the competitor is correct?

c. Compute the p-value of the test.

d. Construct a 95% confidence interval estimate of the population proportion of the users of this allergy drug who experience drowsiness.

e. Explain how to use this confidence interval to test the hypotheses.

Question

05-06-2021
Business

Answered

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A company claims that 10% of the users of a certain allergy drug experience drowsiness. In clinical studies of this allergy drug, 81 of the 900 subjects experienced drowsiness
a. We want to test their claim and find out whether the actual percentage is not 10%. State the appropriate null and hypotheses.

b. Is there enough evidence at the 5% significance level to infer that the competitor is correct?

c. Compute the p-value of the test.

d. Construct a 95% confidence interval estimate of the population proportion of the users of this allergy drug who experience drowsiness.

e. Explain how to use this confidence interval to test the hypotheses.

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