1. National Association of Shoplifting Prevention (NASP) claims that only 50% of all shoplifters are turned over to police. A random sample of 40 US retailers were questioned concerning the disposition of the most recent shoplifters they apprehended. A total of 24 were turned over to police.

a. Do these data provide sufficient evidence to contradict the NASP? Use α = 0.01.

b. What is the P-value for the test in part a?

2. An MBA program requires average GMAT score of more than 670 to be admitted. The XYZ., Inc. wants to know if the average GMAT score for the students who have taken their prep course meets the above standards. They have collected random samples of six GMAT scores of their students. The following scores were obtained:

500, 600, 700, 750, 700, 650.

a. Do you think the students who take the XYZ Prep Course meet the MBA requirement? Use α = 0.025.

4. Suppose that 9 observations are drawn from a normal population whose variance is 10. The observations are: 15, 9, 13, 11, 8, 12, 11, 7, and 10. At α =.05, you want to determine whether the variance of the population from which this sample was taken is significantly different from 10.