SCENARIO 9-2 a Student Claims That He Can Correctly Identify Whether a Whether

question 47

Multiple Choice

SCENARIO 9-2
A student claims that he can correctly identify whether a person is a business major or an agriculture major by the way the person dresses.Suppose in actuality that if someone is a business major,he can correctly identify that person as a business major 87% of the time.When a person is an agriculture major,the student will incorrectly identify that person as a business major 16% of the time.Presented with one person and asked to identify the major of this person (who is either a business or an agriculture major) ,he considers this to be a hypothesis test with the null hypothesis being that the person is a business major and the alternative that the person is an agriculture major.
-Referring to Scenario 9-2,what would be a Type II error?

• A)Saying that the person is a business major when in fact the person is a business major.
• B)Saying that the person is a business major when in fact the person is an agriculture major.
• C)Saying that the person is an agriculture major when in fact the person is a business major.
• D)Saying that the person is an agriculture major when in fact the person is an agriculture major.

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Definitions:

Cakes

Baked desserts that are typically sweet and made from ingredients such as flour, sugar, and eggs.

Marginal Cost Curve

A graphical representation showing how the cost to produce one additional unit of a good changes as more of that good is produced.

Average Variable Cost Curve

A graphical representation showing how the average variable cost of production changes as the quantity of output changes.

Marginal Cost

The augmentation in cumulative cost resulting from the manufacture of an additional unit.