Probability that the program is implemented

Assignment Help Business Management

Reference no: EM131010446

A city ordinance requires that a smoke detector be installed in all residential housing. There is concern that too many residences are still without detectors, so a costly inspection program is being contemplated. Let p be the proportion of all residences that have a detector. A random sample of 25 residences is selected. If the sample strongly suggests that p .80 (less than 80% have detectors), as opposed to p > .80, the program will be implemented. Let x be the number of residences among the 25 that have a detector, and consider the fol- lowing decision rule: Reject the claim that p = .8 and implement the program if x 15.

a. What is the probability that the program is implemented when p = .80?

b. What is the probability that the program is not im- plemented if p = .70? if p = .60?

c. How do the "error probabilities" of Parts (a) and (b) change if the value 15 in the decision rule is changed to 14?

Reference no: EM131010446

Questions Cloud

Cash flow from financing activities totaled : Statement of Cash Flows W.C. Cycling had $54,000 of cash at year-end 2011 and $11,000 in cash at year-end 2012. The firm invested in property, plant, and equipment totaling $130,000. Cash flow from financing activities totaled +$160,000. Round your a..

Voters favor banning the release of information : Suppose that 90% of all registered California voters favor banning the release of information from exit polls in presidential elections until after the polls in California close. A random sample of 25 registered Cali- fornia voters is to be select..

Are the events selected student is a recent immigrant : Suppose that a Santa Clara County kindergartner is selected at random. Are the events selected student is a recent immigrant and selected student has TB independent or dependent events? Justify your answer using the given information.

Discusses stock valuation : Chapter 8 discusses stock valuation. Often it is argued that Managers should not focus on the current stock price because this leads to an over-emphasis on short term profits at the expense of long-term profits. Is this true?

Probability that the program is implemented : a. What is the probability that the program is implemented when p = .80? b. What is the probability that the program is not im- plemented if p = .70? if p = .60?

Describe a research study that used human subjects : Describe a research study that used human subjects and was properly done from an ethical standpoint. The study should be in based in the marketing or business disciplines

Organizational diversity audit : Evaluation against the audit criteria (best practices) that you have identified earlier - Diversity in people's background like education, knowledge, experience, functions and personality is regarded as the informational diversity

Kind of probability distribution : You are to take a multiple-choice exam consist- ing of 100 questions with five possible responses to each question. Suppose that you have not studied and so must guess (select one of the five answers in a completely ran- dom fashion) on each quest..

What is the return on assets-net profit margin : The net profit margin for a company is 26.2 %, the asset turnover is 0.877, the equity multiplier is 1.573, and the dividend payout rate is 19 %. What is the return on assets? Show Your Work! (Answer to the nearest tenth of a percent, i.e. 12.3 witho..

User Account

All Pages