STATISTICAL TECHNIQUES AND TOOLS
TESTS OF SIGNIFICANCE
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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A tire manufacturer claims that one particular type of tire will last at least 50, 000 miles. A group of angry customers does not believe this is so. They took a sample of 14 tires to test if the mean mileage of the tires is really less than 50, 000. If 0.0100 < P-value < 0.0200, what decision should be made if testing at the a = 0.05 level?
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Reject H0 and conclude that the tires were not performing as claimed.
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Reject H0 and conclude that the mean tire life really is 50, 000 miles.
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Do not reject H0 and conclude that the tires were not performing as claimed.
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Do not reject H0 and conclude that the mean tire life really is 50, 000 miles.
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Explanation:
Detailed explanation-1: -The lifetime in miles for a certain brand of tire is normally distributed with a mean of 22, 000 miles and a standard deviation of 3, 100 miles The tire manufacturer wants to offer a money-back guarantee so that no more than 3% of tires will qualify for a refund.
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