Question: Suppose x is a single observation on a random variable X Exp()). We wish to test the null hypothesis Ho : - = 100 against

Suppose x is a single observation on a random variable X

Exp()). We wish to test the null hypothesis Ho : - =

Suppose x is a single observation on a random variable X Exp()). We wish to test the null hypothesis Ho : - = 100 against the alternative H1 : - > 100. We decide to reject Ho if x 2 460. (i) Considering the possible values of 1, what are the sets S, w and w which define this hypothesis test? (5 marks) (ii) What is the sample space A for this test, and what are the acceptance region Ao and the rejection region Al? (5 marks) (iii ) Calculate the probability of making a Type 1 error. (5 marks) Total: 15 marks

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