PUTTING IT ALL TOGETHER. The situation A manufacturer of a type of cell-phone claims their phones are extremely reliable, with 95% of them working correctly.

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Presentation transcript:

PUTTING IT ALL TOGETHER

The situation A manufacturer of a type of cell-phone claims their phones are extremely reliable, with 95% of them working correctly. You are the head of Verizon and you only want to offer a phone if it has a minimum reliability of 95%.

Basics  A manufacturer of a type of cell-phone claims their phones are extremely reliable, with 95% of them working correctly. You are the head of Verizon and you only want to offer a phone if it has a minimum reliability of 95%. What is the population? What is your parameter?

Null and Alternative Hypothesis  A manufacturer of a type of cell-phone claims their phones are extremely reliable, with 95% of them working correctly. You are the head of Verizon and you only want to offer a phone if it has a minimum reliability of 95%. What is your Null hypothesis and alternative hypothesis?

Confidence interval  A manufacturer of a type of cell-phone claims their phones are extremely reliable, with 95% of them working correctly. You are the head of Verizon and you only want to offer a phone if it has a minimum reliability of 95%. You take a sample of 15 of this type of phone and find that an average of 92% work correctly. Your sample standard deviation is Create a 95% confidence interval for the population parameter.

Hypothesis Test  A manufacturer of a type of cell-phone claims their phones are extremely reliable, with 95% of them working correctly. You are the head of Verizon and you only want to offer a phone if it has a minimum reliability of 95%. You take a sample of 15 of this type of phone and find that an average of 92% work correctly. Your sample standard deviation is 3.05.

Conclusion  Are you going to offer this type of cell-phone to Verizon customers?