Chapter 9
Problem 1. The manager of an automobile dealership is considering a new bonus plan designed to increase sales volume. Currently, the mean sales volume is 14 automobiles per month. The manager wants to conduct a research study to see whether the new bonus plan increases sales volume. To collect data on the plan, a sample of sales personnel will be allowed to sell under the new bonus plan for a one-month period.
Develop the null and alternative hypotheses most appropriate for this situation.
Comment on the conclusion when H0 cannot be rejected.
Comment on the conclusion when H0 can be rejected.
Problem 2. The label on a 3-quart container of orange juice states that the orange juice contains an average of 1 gram of fat or less. Answer the following questions for a hypothesis test that could be used to test the claim on the label.
Develop the appropriate null and alternative hypotheses.
What is the Type I error in this situation? What are the consequences of making this error?
What is the Type II error in this situation? What are the consequences of making this error?