A company has been running an assembly line with 97.42%% of the products made being acceptable. Then,

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A company has been running an assembly line with 97.42%% of the products made being acceptable. Then, a critical piece broke down. After the repairs the decision was made to see if the number of defective products made was still close enough to the long standing production quality. Samples of 500 pieces were selected at random, and the defective rate was found to be 0.025%.

a. Is this sample size adequate to claim the company is checking within the 90% confidence interval?

b. The 95% confidence interval?

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Introductory Business Statistics

ISBN: 202318

1st Edition

Authors: Alexander Holmes , Barbara Illowsky , Susan Dean

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