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Hypothesis Testing And Central Limit Theorem

(b) The quality control engineer for a furniture manufacturer is interested in the mean amount of force necessary to produce cracks in stressed oak furniture. She performs a two-tailed test of the null hypothesis that the mean for the stressed oak furniture is 650. What are Type I and Type II errors for this problem?

(c) A 95% confidence interval for is from -2 to 10. What conclusion can we make based on this confidence interval if we test Ho: µ = 0 against H1: µ ? 0 at = 0.05?

(d) What is the Central Limit Theorem? Why is it important in statistical data analysis? How is the rule of thumb used for the application of the Central Limit Theorem?

Solution Preview

b) this is type one error. the women wants to test if the mean for the stressed oak furniture is 650, this is the concept of type I error.

c) we will fail to reject H0 because confidence ...

Solution Summary

The solution gives detailed steps on determining type I and type II errors in a specific hypothesis testing and using confidence interval method to make the conclusion of the same test. Next, central limit theorem is well defined and explained in details.