# Is Nessie Real? This question was posted on the America Online website: Do you believe the Loch Ness monster exists? Among 21,346 responses, 64% were “yes.” Use a 0.01 significance level to test the claim that most people believe that the Loch Ness monster exists. How is the conclusion affected by the fact that Internet users who saw the question could decide whether to respond?

Question
4 views

Is Nessie Real? This question was posted on the America Online website: Do you believe the Loch Ness monster exists? Among 21,346 responses, 64% were “yes.” Use a 0.01 significance level to test the claim that most people believe that the Loch Ness monster exists. How is the conclusion affected by the fact that Internet users who saw the question could decide whether to respond?

check_circle

Step 1

From the given information, the claim of the problem is “most of the people believe that the Loch Ness monster exists”.

Null hypothesis:

H0p=0.5.

That is, the percentage of people who believe that the Loch Ness monster exists is equal to 50%.

Alternative hypothesis:

H1p>0.5.

That is, the percentage of people who believe that the Loch Ness monster exists is greater than 50%.

From the given information, there are 21,346 responses and 64% of people who believe that the Loch Ness monster exists.

That is, the sample size is, n =21,346 and the sample proportion is   =0.64(=64%).

The test statistic is 40.9118 and it is calculated below:

Step 2

The P-value is 0 and it is calculated below:

Step 3

Decision Rule:

If P-value ≤ α, then reject the null hypothesis.

If P-value > α, then do not reject the null hypothesis.

Conclusion:

From the given information, the level of significance is α=0.01

The P-value is 0.000.

Here, the P-value is lesser than the level of significance.

That is, P(=0.000) <α=0....

### Want to see the full answer?

See Solution

#### Want to see this answer and more?

Solutions are written by subject experts who are available 24/7. Questions are typically answered within 1 hour.*

See Solution
*Response times may vary by subject and question.
Tagged in