Concept explainers
In a sample of 1000 randomly selected consumers who had opportunities to send in a rebate claim form after purchasing a product, 250 of these people said they never did so (“Rebates: Get What You Deserve,” Consumer Reports, May 2009: 7). Reasons cited for their behavior included too many steps in the process, amount too small, missed deadline, fear of being placed on a mailing list, lost receipt, and doubts about receiving the money. Calculate an upper confidence bound at the 95% confidence level for the true proportion of such consumers who never apply for a rebate. Based on this bound, is there compelling evidence that the true proportion of such consumers is smaller than 1/3? Explain your reasoning.
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Probability and Statistics for Engineering and the Sciences
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