The Damon family owns a large grape vineyard in western New York along Lake Erie. The grapevines must be sprayed at the beginning of the growing season to protect against various insects and diseases. Two new insecticides have just been marketed: Pernod 5 and Action. To test their effectiveness, three long rows were selected and sprayed with Pernod 5, and three others were sprayed with Action. When the grapes ripened, 400 of the vines treated with Pernod 5 were checked for infestation. Likewise, a sample of 400 vines sprayed with Action were checked. The results are:

Insecticide Number of
Vines Checked
(sample size) Number of
Infested Vines
Pernod 5 400 27
Action 400 40

At the .02 significance level, can we conclude that there is a difference in the proportion of vines infested using Pernod 5 as opposed to Action? Hint: For the calculations, assume the Pernod as the first sample.

Compute the value of the test statistic.