In 2001, 10% of all U.S. families had incomes below the poverty level, as reported by the U.S. Census Bureau in American Community Survey. During that same year, of 360 randomly selected Georgia families, 42 had incomes below the poverty level. At the 10% significance level, do the data provide sufficient evidence to conclude that, in 2001, the percentage of families with incomes below the poverty level among those living in Georgia was greater than than among all U.S. families?

Procedure:

Assumptions: (select everything that applies)

Step 1. Hypotheses Set-Up:

 H0:\displaystyle {H}_{{0}}:  = , where is the and the units are
 Ha:\displaystyle {H}_{{a}}:  , and the test is

Step 2. The significance level α=\displaystyle \alpha= %

Step 3. Compute the value of the test statistic: = (Round the answer to 3 decimal places)

Step 4. Testing Procedure: (Round the answers to 3 decimal places)

CVA PVA
Provide the critical value(s) for the Rejection Region: Compute the P-value of the test statistic:
left CV is and right CV is P-value is

Step 5. Decision:

CVA PVA
Is the test statistic in the rejection region? Is the P-value less than the significance level?

Conclusion:

Step 6. Interpretation:

At 10% significance level we have sufficient evidence to reject the null hypothesis in favor of the alternative hypothesis.