The owner of an electronics store believes that the latest shipment of batteries

Question

The owner of an electronics store believes that the latest shipment of batteries contains more "dead on arrival" batteries than the usual 29%. He tests the null hypothesis that the proportion of dead batteries equals 2% against the alternative hypothesis that the proportion is greater than 2%. The results of a simple random sample of 53 randomly chosen packages in this shipment are given by: Test of H_0: p = 0.02 verses H_a: p > 0.02 Which of the following statements is (are) true? I. The p-value of 0.0006 indicates that it is not very likely to get an observed value of 0.2264 if the null hypothesis is true. II. The owner can be quite confident that this batch has significantly more "dead on arrival" batteries than the typical shipment. III. The p-value of 0.0006 tells us that we fail reject the null hypothesis and that the shipment has 2% or less "dead on arrival" batteries. a. I only b. II only c. III only d. I and II only e. II and III only

Explanation / Answer

option D is correct

as p value indicate extreme probability of accepting null hypothesis . hence I is correct.

and as p value is very less ; hence the supplier is quite confident

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