Question
A tube light producer company claims that 80% of the tube lights manufactured by it have life time more than 2 years. The consumer
A tube light producer company claims that 80% of the tube lights manufactured by it have life time more than 2 years. The consumer forum thinks the percentage is less. (a) Identify the population parameter being tested, the null and alternative hypotheses. (b) The survey conducted by the consumer forum to challenge the company's claim indicates that out of 150 randomly selected tube lights, 110 had life time more than 2 years. Does this evidence lead to the rejection of the null hypothesis at 5% level of significance? (c) Determine the probability of Type II error at 5% level of significance if the con- sumer forum thinks that 70% tube lights have life time more than 2 years. [2+4+4]
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