At a factory, chairs are being produced. All chairs must exceed certain weight bearing requirements or they cannot be sold. Assume that they must hold more than 300 lbs. A company tests a sample to see if their chairs are good enough. Let the null hypothesis be that the chairs do not exceed those requirements (that they can only hold 300 lbs).
Assume the null is true and they reject it. Who is hurt and how?
Assume the null is false but they fail to reject it. Who is hurt and how?
Ans:
H0:mu<=300
Ha:mu>300
If null hypothesis is true and we reject it in favor of alternative hypothesis i.e. weigh bearing capacity exceeds 300 lbs,it means that we are accepting a chair in though of that it will bear more than 300 lbs,but in actual it can not bear more than 300 lbs,so customer will get hurt.
If null hypothesis is false and we fail to reject it i.e. we conclude that weight bearing capacity is less than equal to 300 lbs,it means that we are not accepting a chair in though of that it will bear less than equal to 300 lbs,but in actual it can bear more than 300 lbs,so company will get hurt.
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