Probability of applicants are failing the test

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Reference no: EM1321654

Q1) As condition of employment, Fashion Industries applicants should pass a drug test. Of last 220 applicants 14 failed the test. Develop 99% confidence interval for proportion of applicants that fail the test. Would it be sensible to conclude that more than 10% of applicants are now failing the test? Additionally to testing of applicants, Fashion Industries randomly tests its employees all through year. Last year in 400 random tests conducted, 14 employees failed test. Would it be sensible to conclude that less than 5% of employees are not able to pass random drug test?

Reference no: EM1321654

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