A salesman for a new manufacturer of cellular phones claims not only that they cost the retailer less but also that the percentage of defective cellular phones found among his products, ( p1 ), will be no higher than the percentage of defectives found in a competitor's line, ( p2 ). To test this statement, the retailer took a random sample of 205 of the salesman's cellular phones and 215 of the competitor's cellular phones. The retailer found that 20 of the salesman's cellular phones and 16 of the competitor's cellular phones were defective. Does the retailer have enough evidence to reject the salesman's claim? Use a significance level of α=0.05 for the test.
Determine the decision rule for rejecting the null hypothesis H0. Round the numerical portion of your answer to three decimal places.
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