Power function of testing procedure

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A shipment of 20 projection screen television sets is at the receiving dock of a large department store. The de­ partment store has a policy of not accepting shipments that contain more than 10 percent defective merchan­ dise. The receiving clerk is instructed to have a quality inspection done on two sets that are randomly drawn, without replacement, from the shipment. Letting k rep­ resent the unknown number of defective sets in the shipment of 20 sets, the null hypothesis Ho : k ::::: 2 will be rejected iff both sets that are inspected are found to be defective.

a. Calculate the probabilities of committing type I er­ rors when k = 0, l, or 2.

b. Calculate the probabilities of committing type II errors when k 23.

c. Plot the power function of this testing procedure. Interpret the implications of the power function from the standpoint of both the department store and the television manufacturer.

Reference no: EM13974896

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