An accounting firm has been hired by a large computer company to determine whether the proportion of accounts receivables with errors in one division (Division 1)exceeds that of the second division (Division 2).The managers believe that such a difference may exist because of the lax standards employed by the first division.The null and alternative hypotheses that will be tested are:
H₀ : μ₁ ≥ μ₂
H_a : μ₁ < μ₂

Question

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The null hypothesis should state that there is no difference or that Division 1's proportion is less than or equal to Division 2's, while the alternative hypothesis should state that Division 1's proportion exceeds Division 2's.

An Accounting Firm Has Been Hired by a Large Computer