A machine is to fill barrels with 160 L of crude oil with a standard deviation of 2.3 L. Suppose that the average amount of oil approximately follows a normal distribution. Suppose you collected a random sample of 25 barrels and calculate their mean volume of oil to be 156.3 L.
a. Under an 8% level of significance, what should the rejection criterion be in terms of the amount of oil in the sample of 25 barrels?
b. Suppose that the true mean of all the barrels is 161 L. Find the probability of committing a Type II error.
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