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Calculate the proportion of defective beans

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Reference no: EM131747361

Question: Manufacturing and Product Development Lowquality coffee shipped from various locations in Europe tends to contain a high proportion of defective beans (beans composed of foreign matter; moldy, black, unripe, or fermented beans; or those known as stinkers). Suppose a shipper claims the proportion of defective beans is 0.07. A U.S. packaging company receives a huge shipment of coffee beans and randomly select 1000 beans. If the sample proportion of defective beans is more than 0.09, then the entire shipment will be returned to the supplier in Europe.

a. If the true proportion of defective beans is 0.07 (as claimed), what is the probability that the shipment will be sent back?

b. If the true proportion of defective beans is 0.08, what is the probability that the shipment will be accepted?

Reference no: EM131747361

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