A Contract Calls for the Mean Diameter of a Cylinder

question 83

Multiple Choice

A contract calls for the mean diameter of a cylinder to be 1.50 inches. As a quality check, each day a random sample of n = 36 cylinders is selected and the diameters are measured. Assuming that the population standard deviation is thought to be 0.10 inch and that the test will be conducted using an alpha equal to 0.025, what would the probability of a Type II error be?

• A) Approximately 0.1267
• B) About 0.6789
• C) 0.975
• D) Can't be determined without knowing the "true" population mean.

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Definitions:

Consolidated Financial Statements

Financial reports that aggregate all financial data for a parent company and its subsidiaries, showing the financial results and position of the entire corporate group as a single entity.

Inter-company Transactions

Financial activities between different divisions or subsidiaries within the same parent company.

Parent Company

A corporation that holds a controlling interest in one or more subsidiary companies.

Subsidiary

A company that is controlled by another company, known as the parent company, typically through a majority of the voting shares.