Maureen McIlvoy,owner and CEO of a mail order business for wind surfing equipment and supplies,is reviewing the order filling operations at her warehouses. Her goal is 100% of orders shipped within 24 hours. In previous years,neither warehouse has achieved the goal,but the East Coast Warehouse has consistently out-performed the West Coast Warehouse. Her staff randomly selected 200 orders from the West Coast Warehouse (population 1)and 400 orders from the East Coast Warehouse (population 2),and reports that 190 of the West Coast Orders were shipped within 24 hours,and the East Coast Warehouse shipped 356 orders within 24 hours. Assuming $\alpha$= 0.05,the appropriate decision is ___________________. A) reject the null hypothesis p₁ - p₂ = 0 B) reject the null hypothesis $\mu$₁ - $\mu$₂

Question

Maureen McIlvoy,owner and CEO of a mail order business for wind surfing equipment and supplies,is reviewing the order filling operations at her warehouses. Her goal is 100% of orders shipped within 24 hours. In previous years,neither warehouse has achieved the goal,but the East Coast Warehouse has consistently out-performed the West Coast Warehouse. Her staff randomly selected 200 orders from the West Coast Warehouse (population 1)and 400 orders from the East Coast Warehouse (population 2),and reports that 190 of the West Coast Orders were shipped within 24 hours,and the East Coast Warehouse shipped 356 orders within 24 hours. Assuming $\alpha$= 0.05,the appropriate decision is ___________________. A) reject the null hypothesis p₁ - p₂ = 0 B) reject the null hypothesis $\mu$₁ - $\mu$₂ < 0 C) do not reject the null hypothesis $\mu$₁ - $\mu$₂ = 0 D) do not reject the null hypothesis p₁ - p₂ = 0 E) do not reject the null hypothesis p₁ - p₂ ≥ 0

Quizplus · Accepted Answer

The test is comparing the proportions of orders shipped within 24 hours from two different warehouses. The null hypothesis is that there is no difference in proportions (p1 - p2 = 0). Given the data, the East Coast Warehouse has a higher proportion of orders shipped within 24 hours. Therefore, we reject the null hypothesis that the proportions are equal.

Maureen McIlvoy,owner and CEO of a Mail Order Business for Wind