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Question
Find the sample proportions and test statistic for equal proportions. Find the -value.
Home equity loan default rates in two banks: , , right-tailed test.
Solution
VerifiedAnswered 1 year ago
Answered 1 year ago
Step 1
1 of 7We will be solving for the test statistic and -value for a right-tailed test comparing two proportions. As such, the hypotheses are as follows:
- ,
- .
For this scenario, we are checking if the home equity loan default rate is higher in the second bank significantly than the first.
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