Required Tasks:
1. State the problems faced by Chad Williams.
2. Identify the statistical test Chad Williams can use to determine whether the supplier’s claim is true.
3. State the null and alternative hypotheses for the test to determine whether the supplier’s claim is true.
4. Assuming that the supplier produces output whose diameter is normally distributed with a mean of 0.16 inches and a standard deviation of 0.02 inches, determine the expected frequencies that Chad would expect to see in a sample of 330 components.
5. Based on the observed and expected frequencies, calculate the appropriate test statistic.
6. Calculate the critical value of the test statistic. Select an alpha value.
7. State a conclusion. Is the supplier’s claim with respect to specifications of the component parts supported by the sample data?
8. Provide a short report that summarizes your analysis and conclusion.
Chad Williams sat back in his airline seat to enjoy the hour-long flight between Los Angeles and Oakland, California. The hour would give him time to reflect on his upcoming trip to Australia and the work he had been doing the past week in Los Angeles.
Chad is one man on a six-man crew employed by the American Oil Company to literally walk the earth searching for oil. His college degrees in geology and petroleum engineering landed him the job with American, but he never dreamed he would be doing the exciting work he now does. Chad and his crew spend several months in special locations around the world using highly sensitive electronic equipment for oil exploration.
Chad needs to have a report ready for Monday indicating whether he believes the supplier delivers at its stated specifications and, if so, how many of the components American should order to have enough acceptable components to outfit two oil exploration devices.
Diameter (Inch) Frequency
Under 0.14……………………….5
0.14 and under 0.15…………….70
0.15 and under 0.16…………….90
0.16 and under 0.1710…………...5
0.17 and under 0.18…………….50
Over 0.18……………………….10
Total……………………………330