# Inferences - one population

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In a new advertising campaign, Coca-Cola pokes fun at the decision to revive its famous contoured bottle. Atlanta based Coke faced significant technical hurdles in bringing out the well-known bottle in a new material: plastic. Coke also conducted extensive marketing tests to make sure that one of the world's best known packaged, seldom seem since the 1970's would be hit in the 1990's

Coca-Cola wishes to be sure that at least 60% of the consumers prefer the contoured bottle. Of 3,000 consumers nationwide, 1900 prefer the new bottle. Is this sufficient evidence to give the new bottle the go-ahead?

a)Set up the null and alternative hypotheses for Coca-Cola.

b) In terms of Coke's decision to introduce the new bottle or not, what is a Type I error?

c) In terms of Coke's decision to introduce the new bottle or not, what is Type II error?

d) What is the value of the test statistic?

e) If alpha = 0.05, what is the rejection region? What is your decision?

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