Determining power-population standard deviation

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In an attempt to reduce the number of person-hours lost as a result of industrial accidents, a large production plant installed new safety equipment. In a test of the effectiveness of the equipment, a random sample of 45 departments was chosen. The number of person-hours lost in the month prior to and the month after the installation of the safety equipment was recorded and the percentage change was calculated. Find the power of the test designed to determine if the the new safety equipment is effective when the mean percent reduction is actually 2.3%. Assume that the population standard deviation is 12% and that α is 0.02. What is the power?

Reference no: EM1387153

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