TABLE 12-2
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.
-Referring to Table 12-2, the same decision would be made with this test if the level of significance had been 0.01 rather than 0.05.

Question

Quizplus · Accepted Answer

The p-value for the test is 0.048, which is less than 0.05. Therefore, we would reject the null hypothesis and conclude that there is a difference in the proportion of accounting and economics majors who have a job offer on graduation day. This decision would be the same if the level of significance had been 0.01 rather than 0.05 because the p-value is less than 0.01.

TABLE 12-2 The Dean of a College Is Interested in the Proportion