Question: A major DVD rental chain is considering opening a new store in an area that currently does not have any such stores. The chain will open if there is evidence that more than 5,000 of the 20,000 households in the area are equipped with DVD players. It conducts a telephone poll of 300 randomly selected households in the area and finds that 96 have DVD players.

1. State the null hypothesis and the alternative hypothesis.
2. What is the value of the test statistic in this problem? Explain how you obtain your answer.
3. What is the p -value associated with the test statistic in this problem? Explain how you obtain your answer.
4. Using a 3% level of significance, what would be your decision in the hypothesis test? Justify your answer.
5. Should the rental chain's open a new store based on the hypothesis test using a 3% level of significance? Justify your answer.

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