Trucks significantly having lower accident rate

Reference no: EM1321281

Test the proportions of yellow fire trucks have a significantly lower accident rate.

In Dallas, some fire trucks were painted yellow (instead of red) to heighten their visibility. During a test period, the fleet of red fire trucks made 153,348 runs and had 20 accidents, while the fleet of yellow fire trucks made 135,035 runs and had 4 accidents. At = .01, did the yellow fire trucks have a significantly lower accident rate?

(a) State the hypotheses.

(b) State the decision rule and sketch it.

(d) Make a decision.

(e) Find the p-value and interpret it.

(f) If statistically significant, do you think the difference is large enough to be important? If so, to whom, and why?

(g) Is the normality assumption fulfilled? Explain.

Accident Rate for Dallas Fire Trucks
Statistic	Red Fire Trucks	Yellow Fire Trucks
Number of accidents	x₁ = 20 accidents	x₂ = 4 accidents
Number of fire runs	n₁= 153,348 runs	n₂ = 135,035 runs

Reference no: EM1321281

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