The Manager of the Quality Department for a Tire Manufacturing

question 16

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.She uses a Z test to test the null hypothesis that the mean tensile strength is less than or equal to 800 pounds per square inch.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 .10,the null hypothesis would be rejected.

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Definitions:

Marginal Product

The additional output that results from using one more unit of a particular input, holding all other inputs constant.

Production Function

A mathematical equation that describes the maximum output that can be produced with a given set of inputs, such as labor and capital.

Output

Refers to the total amount of goods or services produced by an entity in a given period.

Production Function

A mathematical relationship that describes the maximum amount of output that can be produced from a given set of inputs under certain technology.