Common Hypotheses
H0 : p1 -p2 = 0 Ha : p1 -p2 ≠ 0
H0 : p1 -p2 = 0 Ha : p1 -p2 < 0
H0 : p1 -p2 = 0 Ha : p1 -p2 > 0
Assumptions
Two independent random samples or two groups in a randomized experiment.
Sampling with replacement (or sample size < 10% N)
np1 ≥ 10 np2 ≥ 10
n(1-p1) ≥ 10 n(1-p2) ≥ 10
Sampling Distribution
Normal
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