The Conventional Levels of Significance of 5% and 1

question 37

Multiple Choice

The conventional levels of significance of 5% and 1%

• A)provide maximum protection against Type I errors.
• B)provide maximum protection against Type II errors.
• C)are a compromise between the risks of making Type I and Type II errors.
• D)are more related to power and sample-size considerations than decision errors.

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Definitions:

Quality

The degree of excellence of a product or service, reflecting its ability to satisfy customer needs and expectations.

Customer Satisfaction

A measure of how products or services supplied by a company meet or surpass customer expectation.

Financial Performance

A measure of how well a company can use assets from its primary mode of business and generate revenues. This term reflects the financial health of a business.

Customer Expectations

The standards or benchmarks that customers anticipate when they purchase a product or service, influencing their satisfaction and loyalty.