Essentials of Business Analytics (MindTap Course List)
2nd Edition
ISBN: 9781305627734
Author: Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Publisher: Cengage Learning
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Question
Chapter 6, Problem 28P
a.
To determine
State the null and alternative hypothesis.
b.
To determine
Identify the Type I error for the given situation and identify the consequences of making this error.
c.
To determine
Identify the Type II error for the given situation and identify the consequences of making this error.
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The label on a 4-quart container of orange juice states that the orange juice contains an average of 1 gram of fat or less. Answer the following questions for a hypothesis test that could be used to test the claim on the label. (a) Develop the appropriate null and alternative hypotheses. H0: ? > 1 Ha: ? ≤ 1 H0: ? < 1 Ha: ? ≥ 1 H0: ? ≤ 1 Ha: ? > 1 H0: ? = 1 Ha: ? ≠ 1 H0: ? ≥ 1 Ha: ? < 1 (b) What is the type I error in this situation? What are the consequences of making this error? It is claiming ? < 1 when it is not. This error would claim that the product is not meeting its label specification when it really is meeting its specification. It is claiming ? ≥ 1 when it is not. This error would miss the fact that the product is not meeting its label specification. It is claiming ? ≤ 1 when it is not. This error would miss the fact that the product is not meeting its label specification. It is claiming ? > 1 when it is not. This error would claim that the…
The label on a 3-quart container of orange juice states that the orange juice contains an average of 1 gram of fat or less. Answer the following questions for a hypothesis test that could be used to test the claim on the label.
1. What is the type I error in this situation? What are the consequences of making this error?
A) It is claiming ? ≤ 1 when it is not. This error would miss the fact that the product is not meeting its label specification.
B) It is claiming ? ≥ 1 when it is not. This error would miss the fact that the product is not meeting its label specification.
C) It is claiming ? > 1 when it is not. This error would claim that the product is not meeting its label specification when it really is meeting its specification.
D) It is claiming ? < 1 when it is not. This error would claim that the product is not meeting its label specification when it really is meeting its specification.
#2
What is the type II error in this situation? What are the…
The label on a 3-quart container of orange juice states tha the orange juice contains an average of 1 gram of fat or less. Answer the following questions for a hypothesis test that could be used to test he claim on the label.
A. Develop the appropriate null and alternative hypothesis
B. What is the type I error in this situation? What ar ethe consequences of making this error?
C. What is the Type II error in this situation? What are the concequences of making this error?
Chapter 6 Solutions
Essentials of Business Analytics (MindTap Course List)
Ch. 6 - The American League consists of 15 baseball teams....Ch. 6 - The U.S. Golf Association is considering a ban on...Ch. 6 - A simple random sample of 5 months of sales data...Ch. 6 - Morningstar publishes ratings data on 1,208...Ch. 6 - One of the questions in the Pew Internet &...Ch. 6 - In this chapter we showed how a simple random...Ch. 6 - The College Board reported the following mean...Ch. 6 - Prob. 8PCh. 6 - The Economic Policy Institute periodically issues...Ch. 6 - The state of California has a mean annual rainfall...
Ch. 6 - The president of Doerman Distributors, Inc.,...Ch. 6 - Prob. 12PCh. 6 - People end up tossing 12% of what they buy at the...Ch. 6 - Prob. 14PCh. 6 - The International Air Transport Association...Ch. 6 - Prob. 16PCh. 6 - Health insurers are beginning to offer...Ch. 6 - The average annual premium for automobile...Ch. 6 - Prob. 19PCh. 6 - According to Thomson Financial, last year the...Ch. 6 - The Pew Research Center Internet Project conducted...Ch. 6 - For many years businesses have struggled with the...Ch. 6 - The manager of the Danvers-Hilton Resort Hotel...Ch. 6 - The manager of an automobile dealership is...Ch. 6 - A production line operation is designed to fill...Ch. 6 - Because of high production-changeover time and...Ch. 6 - Duke Energy reported that the cost of electricity...Ch. 6 - Prob. 28PCh. 6 - Carpetland salespersons average 8,000 per week in...Ch. 6 - Suppose a new production method will be...Ch. 6 - Prob. 31PCh. 6 - A shareholders’ group, in lodging a protest,...Ch. 6 - Prob. 33PCh. 6 - Prob. 34PCh. 6 - Prob. 35PCh. 6 - According to the National Automobile Dealers...Ch. 6 - What percentage of the population live in their...Ch. 6 - Prob. 38PCh. 6 - Ten years ago 53% of American families owned...Ch. 6 - Prob. 40PCh. 6 - Prob. 41PCh. 6 - Prob. 42PCh. 6 - The Port Authority sells a wide variety of cables...Ch. 6 - The Port Authority also wants to determine if the...Ch. 6 - Prob. 1C
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- 1.Respond to the following questions in accordance with characteristics of hypothesis testing. a.If you want to see if the average gestational length among African American women is different from the national average of 39 weeks, how would you set up the null and two-sided alternative hypotheses? b.If you want to see if the average gestational length among African American women is less than the national average of 39 weeks, how would you set up the null and one-sided alternative hypotheses? c.In other words, what is a P-value? d.If α is 0.10 and you find a P-value of 0.08 in your hypothesis test, what would you conclude? e.How do you calculate the standard error of ?̅?arrow_forwardGiven that the P-value for the hypothesis test is 0.000 when rounded to three decimal places, what do you conclude? What do the results indicate about the rule that women and children should be the first to be saved?arrow_forwardIf I conduct a hypothesis testing with Type I error set at 0.05 and a resulting p-value of 0.3, what would my conclusion be?arrow_forward
- Given that the P-value for the hypothesis test is 0.501, what do you conclude? Does it appear that the heights were obtained through measurement or that the subjects reported their heights?arrow_forwardAn automobile manufacturer claims that the average gas mileage of a new model is 35 miles per gallon (mpg). A consumer group is skeptical of this claim and thinks the manufacturer may be overstating the average gas mileage. If µ represents the true average gas mileage for this new model, which of the following gives the null and alternative hypotheses that the consumer group should test?arrow_forwardFind the quantity (deviance) for testing the hypothesis H0 and the pvalue usedarrow_forward
- State the null and alternative hypotheses to be used in testing the following claims also explain type of test.(a) At most, 20% of next year’s wheat crop will be exported to the Soviet Union.(b) On the average, American homemakers drink 3 cups of coffee per day.(c) The proportion of college graduates in Virginia this year who majored in the social sciences is at least 0.15.(d) The average donation to the American Lung Association is no more than $10.(e) Residents in suburban Richmond commute, on the average, 15 kilometers to their place of employmentarrow_forwardThe average life expectancy of tires produced by the Whitney Tire Company has been 40,000 miles. Management believes that due to a new production process, the life expectancy of its tires has increased. In order to test the validity of this belief, the correct set of hypotheses is a. H 0: μ ≥ 40,000 H a: μ < 40,000 b. H 0: μ ≤ 40,000 H a: μ > 40,000 c. H 0: μ < 40,000 H a: μ ≥ 40,000 d. H 0: μ > 40,000 H a: μ ≤ 40,000arrow_forwardUse the traditional method to test the given hypothesis. Assume that the poparrow_forward
- [GIVE JUSTIFICATION] When the following hypotheses are being tested at a particular level of significance, the null hypothesis will be rejected if the p-value is.arrow_forwardMisconceived hypotheses. What is wrong with each of the following hypothesis statements? H0: μ = 100 vs. Ha: μ ≠ 110 H0: x̄ = 100 vs. Ha: x̄ < 100 or could write as H0: x̄ >= 100 vs. Ha: x̄ < 100 H0: p^ = 0.50 vs. Ha: p^ ≠ 0.50arrow_forwardAn Internal Revenue Service official says, "The percentage of taxpayers who overpay the taxes they owe is considerably less than 10%." In the related hypothesis test, we should apply the "Missouri Rule" in setting up the null and alternative hypotheses. a) True b) Falsearrow_forward
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Type I and II Errors, Power, Effect Size, Significance and Power Analysis in Quantitative Research; Author: NurseKillam;https://www.youtube.com/watch?v=OWn3Ko1WYTA;License: Standard YouTube License, CC-BY