CAIE S2 2010 June — Question 4

Exam BoardCAIE
ModuleS2 (Statistics 2)
Year2010
SessionJune
TopicHypothesis test of a Poisson distribution

4 At a power plant, the number of breakdowns per year has a Poisson distribution. In the past the mean number of breakdowns per year has been 4.8. Following some repairs, the management carry out a hypothesis test at the 5\% significance level to determine whether this mean has decreased. If there is at most 1 breakdown in the following year, they will conclude that the mean has decreased.
  1. State what is meant by a Type I error in this context.
  2. Find the probability of a Type I error.
  3. Find the probability of a Type II error if the mean is now 0.9 breakdowns per year.