When working properly a machine that used to make chips for calculation does not produce more than 4% defective chips,wheanever the machine produces more than 4% defective chips ,it's needs a adjustment. To check if machine is working properly the quality control department at the company often takes samples of chips and inspect them to determine if they are good or defective. One such random sample of 200 chips taken recently from the productive line contained 12defective chips.use 2.5%significance level to test the the hypothesis that machine needs an adjustment.
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