Suppose that a manufacturer is testing one of its machines to make sure that the

Question

Suppose that a manufacturer is testing one of its machines to make sure that the machine is producing less than 3% defective parts (H0: p = 0.03 and Ha : p < 0.03) . The test results in a P-value of 0.012. In reality, the machine is producing 3% defective parts. What probably happens as a result of our testing? a. We reject H0, making a Type I error. b. We correctly reject H0. c. We fail to reject H0,making a Type II error. d. We correctly fail to reject H0. e. We fail to reject H0, making a Type I error.

Explanation / Answer

Let assume level of significance is 0.05.

Since P-value is less than 0.05 . P=0.012<alpha=0.05

we reject the null hypothesis.

And also in this case we reject the true null hypothesis .given that machine producing 3% defective products.

so we made a type I error.

Answer is option A

We reject H0 , making type 1 error

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