A Manufacturer Claims That Less Than 1% of All Its

question 178

Short Answer

A manufacturer claims that less than 1% of all its products do not meet the minimum government standards. A survey of 500 products revealed that 10 did not meet the standard. If the z-statistic is -2.58 and the level of significance is 0.02, your decision would be __________.

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Definitions:

Brand of Shoes

A specific make or line of footwear identified by a unique name or symbol, often associated with certain quality, style, or prestige.

Elastic

Refers to the responsiveness of the quantity demanded or supplied of a product to changes in its price.

Decreasing Prices

A situation where the cost of goods or services is becoming lower over time.

Revenue

The total amount of money received by a company for goods sold or services provided during a specific period.