A National Manufacturer of Ball Bearings Is Experimenting with Two

question 65

Multiple Choice

A national manufacturer of ball bearings is experimenting with two different processes for producing precision ball bearings. It is important that the diameters be as close as possible to an industry standard. The output from each process is sampled and the average error from the industry standard is calculated. The results are presented below. The researcher is interested in determining whether there is evidence that the two processes yield different average errors.
What is the decision at the 1% level of significance?

• A) Reject the null hypothesis and conclude the means are different.
• B) Reject the null hypothesis and conclude the means are the same.
• C) Fail to reject the null hypothesis and conclude the means are the same.
• D) Fail to reject the null hypothesis and conclude the means are different.
• E) None of these statements are correct.

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Definitions:

Public Corporation

A company whose shares are publicly traded on the stock exchange and is subject to specific reporting and regulatory requirements.

Shareholders

Individuals or entities that own one or more shares of stock in a joint-stock company, giving them a right to a portion of the company's profits and a vote in certain company matters.

Quo Warranto

A legal proceeding used to challenge an individual's right to hold a public or corporate office.

De Facto Corporation

A corporation in existence by operations and public dealings, despite not completing the formal requirements.