Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A private health fund auditor is assigned the task of evaluating benefits paid to members for dental consultation claims. The audit is conducted on a

A private health fund auditor is assigned the task of evaluating benefits paid to members for dental consultation claims. The audit is conducted on a sample of 85 claims.In 10 of the consultations, an incorrect amount of reimbursement was provided. The amount of benefit was: mean = $98.95, S= $34.55.

a) At the 0.05 level of significance, is there a sufficient evidence that the mean benefit is less than $100.

b) At the 0.05 level of significance, is there a sufficient evidence that the proportion of incorrect benefit in the population is greater than 0.10?

c) Discuss the underlying assumptions of the test used in (a).

d) What is your answer to (a) if the sample mean equals to $90?

e) What is your answer to (b)if 15 consultations had incorrect reimbursements?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

College Algebra

Authors: Michael Sullivan

9th Edition

0321830725, 9780321830722

More Books

Students also viewed these Mathematics questions

Question

What are some of the key characteristics of an embedded OS?

Answered: 1 week ago

Question

1. What does this mean for me?

Answered: 1 week ago