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# Probability of type II error and the error of margin

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1. Consider the following test of whether the coin is fair. Toss a coin three times, if the coin lands whether all heads or tails, reject the Ho: p=1/2. If P=4/5, What is the probability of type II error for this procedure?

2. A sample of 350 orders for takeout at a local pizzeria found out that the average cost of order was \$22 with s=\$14. Find the error of margin if we use 95% confidence interval for average cost per order.

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#### Solution Preview

1. Let X be number of heads after three tosses. So X has a binomial distribution with n=3 and p is to be ...

#### Solution Summary

The solution gives detailed steps on finding the probability of type II error and the error of margin if we use 95% confidence interval.

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