Conduct a market trial for one of its new products

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A firm specializing in agricultural products wants to conduct a market trial for one of its new products. A random sample of 600 potential customers is chosen to receive advertising material describing the new product. It is decided that additional advertising and promotion will occur only if the sample results provide strong evidence that the actual (population) response rate will exceed 7%. What decision will be made if 50 out of the 600 people make a purchase? Test using α = 0.05

Reference no: EM132173753

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