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Statistics and Probability

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Mail Order Business and Wind Surfing

STATS-KN0EEL

The owner and CEO of a mail order business for wind surfing equipment and supplies is reviewing the order filling operations at the company's warehouses. His goal is 100% orders shipped withing 24 hours. In previous years, neither warehouses has achieved the goal, but the East Coast Warehouse has consistently outperformed the West Coast Warehouse.

His staff randomly selected 200 orders from the West Coast Warehouse and 400 orders from the East Coast Warehouse. They found that 190 of the WestCoast Warehouse were shipped within 24 hours and the East Coast Warehouse shipped 372 orders within 24 hours.

The null hypothesis is:

A

$P_{E} - P_{W} = 0$

B

$P_{E} - P_{W} ≥ 0$

C

$P_{E} -P_{W} ≤ 0$

D

$P_{E} - P_{W} ≠ 0$