A drinks manufacturer, BestBubbles, claims that in taste tests more than 50% of people can distinguish between its drinks and those of a rival brand. The company decides to test its claim by having 20 people each taste two drinks and then attempt to determine which was made by BestBubbles and which was made by the rival company. The random variable represents the number of people who correctly identify the drink that was made by BestBubbles.
(i) State, giving a reason, whether this is a one-tailed or a two-tailed test.
(ii) Write down the null and alternative hypotheses for this test.
Under the null hypothesis, it is given that:
(i) Calculate and
(ii) Given that a 10% level of significance was used, write down the critical value and the critical region for this test.
(iii) State the actual level of significance for this test.
In fact, 15 of the 20 people correctly identify the drink made by BestBubbles.
(i) State whether there is sufficient evidence to reject the null hypothesis at the 10% significance level.
(ii) Write a conclusion for this hypothesis test in the context of the question.
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