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The performance of a computer is observed over a period of 2 years to check the

ID: 2957880 • Letter: T

Question

The performance of a computer is observed over a period of 2 years to check the claim that the probability is 0.20 that it's downtime will exceed 5 hours in any given week. Testing the null hypothesis p = 0.20 against the alternative hypothesis p not equal to 0.20, what can we conclude at the level of significance = 0.05 , if there were only 11 weeks in which the downtime of the computer exceeded 5 hours

Explanation / Answer

z = (11/104 - 0.20)/sqrt(0.20*0.80/104) = -2.40 for alpha = 0.05 and a two sided test, the critical value is 1.96 |-2.40| > 1.96 so we reject the null hypothesis there is evidence that the probability is different from 0.20

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