The Manager of the Quality Department for a Tire Manufacturing

question 180

True/False

The manager of the quality department for a tire manufacturing company wants to know the average tensile strength of rubber used in making a certain brand of radial tire. The population is normally distributed and the population standard deviation is known. The manager uses a z test to test the null hypothesis that the mean tensile strength is less than or equal to 800. The calculated z test statistic is a positive value that leads to a p-value of .067 for the test.
-If the significance level is .05,the null hypothesis would be rejected.

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Definitions:

Output

The quantity of goods or services produced within a given period by a firm, industry, or economy.

Average Variable Costs

The total variable costs divided by the number of units produced, representing the variable cost per unit of output.

Total Variable Cost

The total of all costs that vary with output level in the short run.

Output

The total amount of goods or services produced by a company, industry, or economy within a specific period.