A Methodology That Informs Managers What the Real Cost of Processes

question 8

Short Answer

A methodology that informs managers what the real cost of processes are and provides a basis of maximizing profit by encouraging profitable processes and discouraging unprofitable ones is best described as_________

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Definitions:

P-value

The p-value is a measure of the probability of observing results at least as extreme as those measured when the null hypothesis of a study is true.

Correct Decision

A decision made in statistical hypothesis testing that accurately reflects the true state of the world.

Type I Error

The mistake of rejecting a true null hypothesis or falsely claiming to detect an effect that does not actually exist.

Type II Error

A statistical mistake made by failing to reject a false null hypothesis; not detecting an effect or difference when there actually is one.