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Identify the null hypothesis, alternative hypothesis, test statistic, P-value, c

ID: 3364784 • Letter: I

Question

Identify the null hypothesis, alternative hypothesis, test statistic, P-value, conclusion about the null hypothesis, and final conclusion that addresses the original claim A manufacturer considers his production process to be out of control when defects exceed 3%. In a random sample of 85 items, the defect rate is 5.9% but the manager claims that this is only a sample fluctuation and production is not really out of control. At the 0.01 level of significance, test the manager's claim. o Hoi p-0.03. H p 003. Test statistic: z -1,57. P-value p-00582. Critical value: z -2.33. Fail to rcject null hypothesis. There is not suficient evidence to warrant rejection of the manager's claim that production is not really out of control. oHo:p-006. H: p0.03. Test statistic z - 1.,57. Pivalue: p -0.0582. Critical value: z- 3.33 Reject null hypothesis. There is sufcient evidence to warrant rejection af the manager's claim that production is not really out of control

Explanation / Answer

Option A is correct.

Null hypothesis: P = 0.03
Alternative hypothesis: P > 0.03

= sqrt[ P * ( 1 - P ) / n ] = sqrt [(0.03 * 0.97) / 85] = 0.01850278198
z = (p - P) / = (0.06 - 0.03)/0.01850278198 = 1.57

P-value = 0.0582