4. A proportion \(p\) of letters sent by a company are incorrectly addressed and if \(p\) is thought to be greater than 0.05 then action is taken.
Using \(\mathrm { H } _ { 0 } : p = 0.05\) and \(\mathrm { H } _ { 1 } : p > 0.05\), a manager from the company takes a random sample of 40 letters and rejects \(\mathrm { H } _ { 0 }\) if the number of incorrectly addressed letters is more than 3 .
- Find the size of this test.
- Find the probability of a Type II error in the case where \(p\) is in fact 0.10
Table 1 below gives some values, to 2 decimal places, of the power function of this test.
\begin{table}[h]
| \(p\) | 0.075 | 0.100 | 0.125 | 0.150 | 0.175 | 0.200 | 0.225 |
| Power | 0.35 | \(s\) | 0.75 | 0.87 | 0.94 | 0.97 | 0.99 |
\captionsetup{labelformat=empty}
\caption{Table 1}
\end{table} - Write down the value of \(s\).
A visiting consultant uses an alternative system to test the same hypotheses. A sample of 15 letters is taken. If these are all correctly addressed then \(\mathrm { H } _ { 0 }\) is accepted. If 2 or more are found to have been incorrectly addressed then \(\mathrm { H } _ { 0 }\) is rejected. If only one is found to be incorrectly addressed then a further random sample of 15 is taken and \(\mathrm { H } _ { 0 }\) is rejected if 2 or more are found to have been incorrectly addressed in this second sample, otherwise \(\mathrm { H } _ { 0 }\) is accepted.
- Find the size of the test used by the consultant.
\section*{Question 4 continues on page 8}
For your convenience Table 1 is repeated here
\begin{table}[h]
| \(p\) | 0.075 | 0.100 | 0.125 | 0.150 | 0.175 | 0.200 | 0.225 |
| Power | 0.35 | \(s\) | 0.75 | 0.87 | 0.94 | 0.97 | 0.99 |
\captionsetup{labelformat=empty}
\caption{Table 1}
\end{table}
Figure 1 shows the graph of the power function of the test used by the consultant.
\begin{figure}[h]
\includegraphics[alt={},max width=\textwidth]{8dfc721d-4782-4482-9976-11189370f3b7-07_1712_1673_660_130}
\captionsetup{labelformat=empty}
\caption{Figure 1}
\end{figure} - On Figure 1 draw the graph of the power function of the manager's test.
(2) - State, giving your reasons, which test you would recommend.
(2)