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Please show work lessing a claim An insurance company sets up a statistical test

ID: 3360702 • Letter: P

Question

Please show work

lessing a claim An insurance company sets up a statistical test with a null hypothesis that the average time for processing a claim is 5 days, and an aenative hypothesis that the average time for processing a claim is greater than 5 days. After completing the statistical test, it is concluded that the average time exceeds 5 days. However, it is eventually learned that the mean process time is really 5 days. What type of error occurred in the statistical test? Type IlI error O B. Type ll error O C. No error occurred in the statistical sense. O D. Type l error

Explanation / Answer

Since according to this question, the conclusion was in in-line with the alternate hypothesis and we rejected the null but it should have been accepted, it is Type 1 error. so option D