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A Statistics professor has observed that for several years about 16% of the students who initially enroll in his Introductory Statistics course withdraw before the end of the semester. A salesman suggests that he try a statistics software package that gets students more involved with computers, predicting that it will cut the dropout rate. The professor can use the software free of charge for one semester as part of a trial package. Initially, 186 students signed up for the Statistics course. They used the software suggested, and only 14 dropped out of the course. Complete the parts that follow.
a) Is this a one-tailed or two-tailed test? Explain.
b) Write the null and alternative hypotheses. Choose the correct answer below.
c) Should the professor spend the money for this software? Support your recommendation with an appropriate test. Use alpha equals 0.05. Assume 186 less than 10% of all students who have taken the class with the professor.
d) Explain what your P-value means in this context. Select the correct choice below, and, if necessary, fill in the answer box to complete your choice.
