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The customer help center in your company receives calls from customers who need

ID: 3360729 • Letter: T

Question

The customer help center in your company receives calls from customers who need help with some of the customized software solutions your company provides. Your company claims that the average waiting time is seven minutes at the busiest times, 8 a.m. to 10 a.m., Monday through Thursday. One of your main clients has recently complained that every time she calls during the busy hours, the waiting time exceeds seven minutes. You conduct a statistical study to determine the average waiting time with a sample of 35 calls for which you obtain an average waiting time of 8.15 minutes. If the value of your test statistic is less than the critical value, the correct decision is to _____.

increase the sample size

reduce the sample size

fail to reject the seven-minute average waiting time claim

maintain status quo

reject the seven-minute claim

The probability of committing a Type I error is called __________.

the p-value

the power of the test

the strength of the test

the level of significance

the substantive value of the test

----

A coffee-dispensing machine is supposed to deliver eight ounces of liquid into each paper cup, but a consumer believes that the actual mean amount is more. The critical value for z for a one-tailed test with the tail in the right end is 2.326 and the obtained value is 2.29. The appropriate decision is ________.

increase the sample size

reduce the sample size

maintain status quo

a)

increase the sample size

b)

reduce the sample size

c)

fail to reject the seven-minute average waiting time claim

d)

maintain status quo

e)

reject the seven-minute claim

Explanation / Answer

1) If the value of your test statistic is less than the critical value, the correct decision is to

we fail to reject the Null hypothesis.

2) P(Type I erro) =level of significance

3) The critical value for z for a one-tailed test with the tail in the right end is 2.326 and the obtained value is 2.29. The appropriate decision is ________.

Z cal < Z critical value, we fail to reject the H0

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