Key Concepts
- The difference of two proportions is approximately normal if there are at least five successes and five failures in each sample.
- When conducting a hypothesis test for a difference of two proportions, the random samples must be independent and the population must be at least ten times the sample size.
- When calculating the standard error for the difference in sample proportions, the pooled proportion must be used.
Glossary
Pooled Proportion: estimate of the common value of [latex]p_1[/latex] and [latex]p_2[/latex] is [latex]p_c[/latex], which is
[latex]p_c = \frac{x_A + x_B}{n_A + n_B}[/latex]