A Major Issue Facing Many States Is Whether to Legalize

Multiple Choice

A major issue facing many states is whether to legalize casino gambling. Suppose the governor of one state believes that more than 55% of the state's registered voters would favor some form of legal casino gambling. However, before backing a proposal to allow such gambling, the governor has instructed his aides to conduct a statistical test on the issue. To do this, the aides have hired a consulting firm to survey a simple random sample of 300 voters in the state. Of these 300 voters, 175 actually favored legalized gambling. State the appropriate null and alternative hypotheses.

A) H0 : p = 0.58 Ha : p ≠ 0.58
B) H0 : p ≤ 0.55 Ha : p > 0.55
C) H0 : p = 0.55 Ha : p ≠ 0.55
D) H0 : p ≤ 0.58 Ha : p > 0.58