A new design for the braking system on a certain type of car has been proposed. For the current system, the true average braking distance at 40 mph under specified conditions is known to be 120 ft. It is proposed that the new design be implemented only if sample data strongly indicates a reduction in true average braking distance for the new design. Suppose braking distance for the new system is normally distributed with σ = 10. Let X denote the sample average braking distance for a random sample of 36 observations. What is the probability that the new design is not implemented when its true average braking distance is actually 115 ft?

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Estimation

A new framework of data analysis where the new statistical methods are used for interpreting the results and analyzing the data is known as estimation in statistics.