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ABC Company claims that the proportion of its employees investing in individual investment accounts is higher than national proportion of 50%. A survey of 100 employees in ABC Company indicated that 58 of them have invested in an individual investment account. Assume Mimi wants to use a 0.10 significance level to test the claim.
(a) Identify the null hypothesis and the alternative hypothesis.
(b) Determine the test statistic. Show all work; writing the correct test statistic, without supporting work, will receive no credit.
(c) Determine the P-value for this test. Show all work; writing the correct P-value, without supporting work, will receive no credit.
(d) Is there sufficient evidence to support ABC Company's claim that the proportion of its employees investing in individual investment accounts is higher than 50%? Explain.
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