Solved: After a period of apprenticeship, an organization

Chapter 8, Problem 8.85

(choose chapter or problem)

After a period of apprenticeship, an organization gives an exam that must be passed to be eligible for membership. Let p P(randomly chosen apprentice passes). The organization wishes an exam that most but not all should be able to pass, so it decides that p .90 is desirable. For a particular exam, the relevant hypotheses are H0: p .90 versus the alternative Ha: p .90. Suppose ten people take the exam, and let X the number who pass. a. Does the lower-tailed region {0, 1, . . . , 5} specify a level .01 test? b. Show that even though Ha is two-sided, no two-tailed test is a level .01 test. c. Sketch a graph of (p ) as a function of p for this test. Is this desirable?

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