McDonald’s announced that it would use a new cooking oil for its french fries that would decrease substantially trans fatty acid levels and increase the amount of more beneficial poly-unsaturated fat. The company claimed that 97 out of 100 people cannot detect a difference in taste between the new and old oils. Assuming that this figure is correct (as a long-run proportion). Let X denote the number of individuals who can taste the difference between the two oils in a random sample of 1000 individuals who have purchased fries at McDonald’s.

Linear Algebra: A Modern Introduction
4th Edition
ISBN:9781285463247
Author:David Poole
Publisher:David Poole
Chapter7: Distance And Approximation
Section7.3: Least Squares Approximation
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In response to concerns about nutritional contents of fast foods, McDonald’s announced that it would use a new cooking oil for its french fries that would decrease substantially trans fatty acid levels and increase the amount of more beneficial poly-unsaturated fat. The company claimed that 97 out of 100 people cannot detect a difference in taste between the new and old oils. Assuming that this figure is correct (as a long-run proportion). Let X denote the number of individuals who can taste the difference between the two oils in a random sample of 1000 individuals who have purchased fries at McDonald’s.

 

If it turns out that 65 individuals in the sample can taste the difference between the two oils, would you question McDonald’s claim? Explain why or why not.

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