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Does not fall within this range it is not a plau

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does not fall within this range, it is not a plau- sible value with 95% confidence; thus the hy- pothesis that the true rate is 3 is rejected at α = 0 . 05. 3. There are two equivalent approaches. Let m = 4 n be the total number of trials. Due to independence, we can solve directly for m and choose the smallest integer equal to or larger than m that is divisible by 4. P ( atleast 1 success ) = 1 P (0 successes ) = 1 . 98 m . We wish to choose m so that . 98 m = 0 . 20. This can be done by trial and error or, directly, using logs. m ln ( . 98) = ln ( . 20). This results in m = 79 . 66. Rounding up to 80 (and dividing by 4) results in n = 20. Equivalently, let Y be the number of successes out of 4 trials. Then, P ( Y = 0) = . 98 4 = . 92237. Then, with n as the number of ‘sets’ of trials, . 92237 n = 0 . 20 using similar reasoning to the above. Trial and error – or logs – again results in n = 20. 4. (a) FALSE — The only way one can obtain a neg- ative value of F is if one has made a mistake. Even if all data values are negative, F can never be less than 0. (b) FALSE — Since you are in ‘planning’ mode, the underlying variance should be viewed as known. We know V ar ( ˆ b 1 ) = σ 2 y.x / P ( x i ¯ x ) 2 .
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