John Stull, senior vice president of manufacturing, is seeking strong evidence to support his hope that new operating procedures have reduced the percentage of underfilled cereal packages from the production line. State his null and alternative hypotheses.
b) You are performing a hypothesis test with α = 0.05. Assume, you have determined that your data is significant at this level. What can you say about H0 and H1 ? (write a statement about each hypothesis)
Solution:
Null Hypothesis(H0) : New operating procedures have not reduced the percentage of underfilled cereal packages from the production line.
Alternative Hypothesis(H1) : New operating procedures have reduced the percentage of underfilled cereal packages from the production line.
If the data is significant at α = 0.05 level ,
Then the Null Hypothesis(H0) is rejected at 5% level of significance .
This means we reject the null hypothesis(H0) that New operating procedures have not reduced the percentage of underfilled cereal packages from the production line.
and conclude that New operating procedures have reduced the percentage of underfilled cereal packages from the production line.
Conclusion: Reject the null hypothesis (H0) and conclude that New operating procedures have reduced the percentage of underfilled cereal packages from the production line.
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