If the standard deviation of the medicine concentrations was 50 ppm and their mean was 450 ppm, test the hypothesis that the medicine is effective. If the laboratory used another device and did 5 more tests and reported that the standard deviation of the results became 10 ppm. Test if the quality control (degree of variation) of the new device is better than the old device. Based only on the new standard deviation of 10 ppm, compute the minimum required mean value for the 5 samples such that the effectiveness of the medicine is confirmed. Using the combined data (the old 5 tests + the new 5 tests) re-test the hypothesis that that the medicine is effective.

MATLAB: An Introduction with Applications
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ISBN:9781119256830
Author:Amos Gilat
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Chapter1: Starting With Matlab
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 To confirm the effectiveness of some medicine, its concentration in blood must exceed 400 ppm (parts per million).  The analyst in a laboratory generates 5 identical specimens taken from a blood sample and tests them using some device. Assuming a significance level of 2%, answer the following:

  1. If the standard deviation of the medicine concentrations was 50 ppm and their mean was 450 ppm, test the hypothesis that the medicine is effective.
  2. If the laboratory used another device and did 5 more tests and reported that the standard deviation of the results became 10 ppm. Test if the quality control (degree of variation) of the new device is better than the old device.
  3. Based only on the new standard deviation of 10 ppm, compute the minimum required mean value for the 5 samples such that the effectiveness of the medicine is confirmed.
  4. Using the combined data (the old 5 tests + the new 5 tests) re-test the hypothesis that that the medicine is effective.
  5. Based on data from large population, the true mean is in fact 390 ppm, calculate the probability of making type II error in part a)
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