To check on an ambulance service’s claim that at least 40% of its calls are life-threatening emergencies, a random sample was taken from its files, and it was found that only 49 of 150 calls were life-threatening emergencies. Can the null hypothesis p = 0.40 be rejected against the alternative hypothesis p < 0.40 if the probability of a Type I error is to be at most 0.01?

Operations Research : Applications and Algorithms
4th Edition
ISBN:9780534380588
Author:Wayne L. Winston
Publisher:Wayne L. Winston
Chapter17: Markov Chains
Section17.6: Absorbing Chains
Problem 7P
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To check on an ambulance service’s claim that at least 40% of its calls are
life-threatening emergencies, a random sample was taken from its files, and it was found
that only 49 of 150 calls were life-threatening emergencies. Can the null hypothesis p = 0.40
be rejected against the alternative hypothesis p < 0.40 if the probability of a Type I error
is to be at most 0.01?

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