For quality control purposes we have to accept or reject a large shipment of items. In order to do so we collect a sample of 200 items, 24 of which are defective. The manufacturer claims that at most 1 in 10 items in a shipment are defective. At the 4% level of significance, is there significant evidence to disprove the claim?
Though exact answers are useful I am more of looking for how to do this. My current thinking is to find the standard normal deviation and find whether it is within the top 4%, which I believe is 1.75 deviations from 0.