Solved: Consider the large-sample level .01 test in

Chapter 8, Problem 54E

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Problem 54E

Consider the large-sample level .01 test in Section 8.3 for testing H0 : p = .2 against Ha : p > .2.

a. For the alternative value , compute b(.21) for sample sizes n = 100, 2500, 10,000, 40,000, and 90,000.

b. For , compute the P-value when n = 100, 2500, 10,000, and 40,000.

c. In most situations, would it be reasonable to use a level .01 test in conjunction with a sample size of 40,000? Why or why not?

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