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2. The article Uncertainty Estimation in Railway Track Life-Cycle Cost+ presented the following data on time to repair (min

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Ho :   µ =   200  
Ha :   µ >   200   (Right tail test)

          
Level of Significance ,    α =    0.050  
sample std dev ,    s =    145.1000  
Sample Size ,   n =    12  
Sample Mean,    x̅ =   249.7000  
          
degree of freedom=   DF=n-1=   11  
          
Standard Error , SE = s/√n =   145.1/√12=   41.8868  
t-test statistic= (x̅ - µ )/SE =    (249.7-200)/41.8868=   1.19  
          

          
p-Value   =   0.1302   [Excel formula =t.dist(t-stat,df) ]
Decision:   p-value>α, Do not reject null hypothesis       

There is not compelling evidence that the true average repair time exceeds 200 min.

..................

B

true mean ,    µ =    300
      
hypothesis mean,   µo =    200
significance level,   α =    0.05
sample size,   n =   12
std dev,   σ =    150.0000
      
δ=   µ - µo =    100
      
std error of mean=σx = σ/√n =    150/√12=   43.3013

Zα =   1.6449   (right tailed test)
      
We will fail to reject the null (commit a Type II error) if we get a Z statistic <   1.645  
this Z-critical value corresponds to X critical value( X critical), such that      
      

(x̄ - µo)/σx ≤ Zα      
x̄ ≤ Zα*σx + µo      
x̄ ≤    1.6449*43.3013+200  
x̄ ≤    271.2243   (acceptance region)
      
now, type II error is ,ß =    P( x̄ ≤    271.2243 given that µ is 300
      
   = P ( Z < (x̄-true mean)/σx )  
=P( Z < (   271.2243-300)/43.3013)  
      
= P ( Z <    -0.665   )
ß =    0.2532

ß = 0.25

..............

Please let me know in case of any doubt.

Thanks in advance!


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