(b) What can you conclude at 5% level of signicance? (10 pts.) (c) Which error could you possibly have committed (type I or type II) in your answer to part b? (d) What can you conclude at 1% signicance level? (10 pts.) (e) Which error could you possibly have committed (type I or type II) in your answer to part d? (10 pts.) (f) Compute the p-value corresponding to this test. (10 pts.) 2. An automobile insurance rm wants to nd the average amount per claim for auto body repairs. Its summary records combine amounts for body repair with all other repair amounts, so a sample of individual claims must be taken. Their goal is to estimate the average claim for auto body repairs with a precision of $25, with 95% condence. In other Words, they want to be 95% condent that the difference between the population mean and the sample mean is no more than $25. A "horseback guess" says that the standard deviation is about $500. How large a sample is needed? (10 pts.) 3. A team of builders has surveyed buyers of their new home for years. Consistently, 41% of the buyers have indicated that they were satised with the construction quality of their homes. The builders have adopted a revised qualityinspection system to try to improve customer satisfaction. They have surveyed 104 buyers since then. Of these buyers, 57 indicated they were satised. a. Set up appropriate null and (onesided) alternative hypotheses for this situation. (10