Wax-Com Electronics Inc $\alpha$ = 05,can It Be Concluded That the Sample Contradicts the Claim

question 20

Multiple Choice

Wax-com Electronics Inc.claims that a certain circuit board has a median operating life of less than 20,000 hours.A random sample of 25 such circuit boards showed 8 circuit boards failing before 20,000 hours and 17 circuit boards failing after 20,000 hours. Assume the useful life of the circuit board is not normally distributed.At $\alpha$ = .05,can it be concluded that the sample contradicts the claim of the company?

• A)Reject the null hypothesis
• B)Fail to reject the null hypothesis

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Definitions:

Manufacturing Budget

A planned budget for manufacturing operations, detailing the projected costs associated with production.

Traditional Budgeting

An approach to budgeting focusing on incremental changes to the previous year's budget rather than starting from zero.

Activity-Based Budgeting

A budgeting approach that considers the underlying activities and costs as the bases for budgets, focusing on cost drivers.

Non-Value-Added Activities

Processes or actions that do not add value to the product or service from the customer's perspective, potentially leading to unnecessary costs.