The Next Questions Are Based on the Following Information

question 50

Essay

The Next Questions Are Based On The Following Information:
A beer producer claims that the proportion of its customers who cannot distinguish regular from light beer is at most 12 percent.The producer decides to test this null hypothesis against the alternative that the true proportion is more than 12 percent.The decision rule adopted is to reject the null hypothesis if the sample proportion of who cannot distinguish between the two beers exceeds 15 percent.
-If a random sample of 400 customers is selected,what is the probability of a Type I error,using this decision rule?

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Definitions:

Cash Dividends

Payments made by a company out of its profits to its shareholders, usually in the form of cash.

Statement of Cash Flows

A financial statement that provides aggregate data regarding all cash inflows and outflows a company receives from its ongoing operations, investment, and financial activities.

Noncash Investing

Transactions that involve the exchange of non-monetary assets or liabilities for other non-monetary assets or liabilities, without the use of cash.

Net Increase in Cash

The total change in cash and cash equivalents indicating the difference between cash inflows and outflows over a period.