A retailer is looking to evaluate its customer service. Management has determined that if the retailer wants to stay competitive, then it will have to have at least a 91% satisfaction rate among its customers. Management will take corrective actions if the satisfaction rate falls below 91%. They conduct a survey to determine if the satisfaction rate is lower than 91%. A survey of 1,450 customers showed that 1,305 were satisfied with their customer service. (a) Give the test statistic. (Round to two decimal places.) (b) Give the p-value (Round to three decimal places.) (c) State whether or not the management should take corrective action, based on a 5% significance level. Explain briefly.
A retailer is looking to evaluate its customer service. Management has determined that if the retailer wants to stay competitive, then it will have to have at least a 91% satisfaction rate among its customers. Management will take corrective actions if the satisfaction rate falls below 91%. They conduct a survey to determine if the satisfaction rate is lower than 91%. A survey of 1,450 customers showed that 1,305 were satisfied with their customer service.
(a) Give the test statistic. (Round to two decimal places.)
(b) Give the p-value (Round to three decimal places.)
(c) State whether or not the management should take corrective action, based on a 5% significance level. Explain briefly.
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