Solve the Problem $3 / n$ If a Manufacturer Randomly Selects 25 Computers for Quality

question 12

Multiple Choice

Solve the problem.
-Suppose that n trials of a binomial experiment result in no successes. According to the "Rule of Three", we have 95% confidence that the true population proportion has an upper bound of 3/n $3 / n$ . If a manufacturer randomly Selects 25 computers for quality control and finds no defective computers, what statement can you make by Using the rule of three, about the proportion p, of all its computers which are defective?

• A) We are \(95 \%\) confident that \(p\) is greater than \(\frac { 3 } { 25 }\).
• B) We are \(95 \%\) confident that \(p\) lies between \(\frac { 1 } { 25 }\) and \(\frac { 3 } { 25 }\).
• C) We are \(95 \%\) confident that p does not exceed \(\frac { 3 } { 25 }\).
• D) The value of p cannot be greater than \(\frac { 3 } { 25 }\).

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Definitions:

Negotiation

The transfer of a negotiable instrument in such form that the transferee becomes a holder.

Indorsement

The act of signing one's name on the back of a check or other negotiable instrument to legally transfer its ownership.

Indorsee

A person to whom a draft, note, or other negotiable instrument is transferred by endorsement.

Indorser

A person who signs a negotiable instrument on the back to endorse it to another entity, transferring ownership.