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Top sales executives, Christian and Freedom, came up with a kiwi/passion fruit f

ID: 3248867 • Letter: T

Question

Top sales executives, Christian and Freedom, came up with a kiwi/passion fruit flavor for the Amor de Lejos!" Cookie Company. The machine fills each package with cookies so that they have an average weight of 32 ounces with a variance of .015 square ounces. Brianna, a quality control inspector for the company, took a random sample of 25 packages of the new cookies and got a sample variance of .029 square ounces. If she finds that the machine fills the packages with a population variance of more than .015 square ounces, then it must be adjusted. Test at the 1% significance level whether the machine will need to be adjusted. Find: a. The point estimate for the population standard deviation. b. What is the critical value(s) for chi-square? c. the test statistic. d. What is your conclusion? Explain.

Explanation / Answer

Solution:-

a. The point estimate for the population Standard deviation is,

Standard deviation = sqrt(variance) = sqrt(0.029) = 0.1703 (rounded to four decimal places)

b. The critical value for chi-square

at 1% significance level, with 24 degree of freedom, using the chi square table the critical value is 42.9798

c. The test statistic

T = (N1) (s/0)2

where N is the sample size and s is the sample standard deviation. .

= (25 - 1) (0.1703 / 0.1225)2 = 46.384

d. Conclusion:- The value of test statistic is greater than the critical value, thus we reject the hypothesis.

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