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March 26, 2017

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Using this TABLE 12-6 for the following questions:

The dean of a college is interested in the proportion of graduates from his college who have a job offer on graduation day. He is particularly interested in seeing if there is a difference in this proportion for accounting and economics majors. In a random sample of 100 of each type of major at graduation, he found that 65 accounting majors and 52 economics majors had job offers. If the accounting majors are designated as "Group 1" and the economics majors are designated as "Group 2," perform the appropriate hypothesis test using a level of significance of 0.05.

(a) Referring to Table 12-6 (above), the hypotheses the dean should use are:
A) H0: pi one -pi2 = 0 versus H1: pi one -pi2 ¡Ù 0
B) H0: pi one - pi2 ¡Ù 0 versus H1: pi one - pi2 = 0
C) H0: pi one - pi2 ¡Ü 0 versus H1: pi one - pi2 > 0
D) H0: pi one - pi2 ¡Ý 0 versus H1: pi one - pi2 < 0

(b) Referring to Table 12-6 (above), the value of the test statistic is ________.
A) ¦Ö2 = 3.4806
B) ¦Ö2 = 34.806
C) ¦Ö2 = 0.05
D) ¦Ö2 = 348.06

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