A_PC_manufacturer_claims_that_no_more_than - 0.02 Critical...

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Problem: A PC manufacturer claims that no more than 2% of their machines are defective. In a random sample of 100 machines, it is found that 4.5% are defective. The manufacturer claims this is a fluke of the sample. At a .02 level of significance, test the manufacture’s claim Data: n 100 p 0.02 p' 0.045 (1) Formulate the hypotheses: 0.02 0.02 (2) Decide the test statistic and the level of significance:
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Unformatted text preview: 0.02 Critical z- score = 2.0537 (3) State the decision Rule: Reject Ho if z > 2.0537 (4) Calculate the value of test statistic: 0.0140 1.7857 (5) Compare with the critical value and make a decision: Since 1.7857 < 2.0537 we fail to reject Ho Decision: There is no sufficient evidence that the proportion of defectives is more than 2%. Ho: p ≤ Ha: p > z (Right-tailed), α = SE = √{( p (1 - p)/n } = z = (p' - p)/SE =...
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