Question
Asmart phone company has a 1 year manufacturer's warranty on the device. The company considers the overall quality to be acceptable if less than 8%
Asmart phone company has a 1 year manufacturer's warranty on the device. The company considers the overall quality to be acceptable if less than 8% are returned within 1 year.
The company randomly tracks 250 phones that have been used for 1 year. They find that 11 of them were returned or repaired due to manufacturer's defect within the first year.With this data, we test the following hypotheses at the 5% significance level.
H0: The proportion of phones that are defective is equal to 0.08.
Ha: The proportion of phones that are defective is less than 0.08.
The P-value is 0.15. Which conclusion is correct?
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