Appendix A

Test Based on Normal Distributions

A.1 Z-Test for Proportions

A.1.1 Test of Significance for Single Proportion

Suppose a large sample of size n is taken from a normal population. To test the significant difference between the sample proportion p and population proportion P, we use the statistic

Eq 1.eps

where n is the sample size and Q = 1 − P.

Note Limits for population proportion P are given by p ± 3Eq 2.eps where q = 1 − p.

Example

A wholesaler in apples claims that only 4% of the apples supplied by him or her are defective. A ­random sample of ...

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