The proportion of applicants that fail the test


As a condition of employment, Fashion Industries applicants must pass a drug test. Of the last 250 applicants 20 failed the test. (Answers to 3 decimal places)

a. Develop a 90 percent confidence interval for the proportion of applicants that fail the test.

b. Would it be reasonable to conclude that more than 11 percent of the applicants are now failing the test?

c. In addition to the testing of applicants, Fashion Industries randomly tests its employees throughout the year. Last year in the 480 random tests conducted, 18 employees failed the test. Would it be reasonable to conclude that less than 6 percent of the employees are not able to pass the random drug test?

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Accounting Basics: The proportion of applicants that fail the test
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