SCENARIO 9-2
A student claims that he can correctly identify whether a person is a business major or an agriculture major by the way the person dresses.Suppose in actuality that if someone is a business major,he can correctly identify that person as a business major 87% of the time.When a person is an agriculture major,the student will incorrectly identify that person as a business major 16% of the time.Presented with one person and asked to identify the major of this person (who is either a business or an agriculture major),he considers this to be a hypothesis test with the null hypothesis being that the person is a business major and the alternative that the person is an agriculture major.
-Referring to Scenario 9-2,what is the "actual level of significance" of the test?
A)0.13
B)0.16
C)0.84
D)0.87

Question

Quizplus · Accepted Answer

The actual level of significance is the probability of rejecting the null hypothesis when it is actually true. In this case, it is the probability that the student incorrectly identifies a business major as an agriculture major. This is given as 16%, or 0.16. Therefore, the actual level of significance is 0.16, which corresponds to choice letter A.

SCENARIO 9-2 a Student Claims That He Can Correctly Identify Whether a Whether