Answers
The manager should carry out a 2-tail test as, in testing whether the mean resistance is in fact 750, the actual
population mean resistance could be greater or less than 750.
There is insufficient evidence at the level of significance to conclude whether the mean resistance of the resistors is ohms
We will need to take a larger sample of size at least
Since the population distribution of the ohm resistors is unknown, in order for the sample mean test statistic
to be normally distributed (approximately) to carry out at test, we will need
a large sample size of at least so that the Central Limit Theorem can be applied.
Full solutions
(i)
The manager should carry out a 2-tail test as, in testing whether the mean resistance is in fact 750, the actual
population mean resistance could be greater or less than 750.
Let denote the population mean resistance of the resistors, denote the random variable of the
resistance of the resistors, denote the mean resistance of the sample of and
and be the null and alternative hypothesis respectively.
(ii)
Under test statistic
There is insufficient evidence at the level of significance to conclude whether
the mean resistance of the resistors is ohms
(iii)
We will need to take a larger sample of size at least
Since the population distribution of the ohm resistors is unknown, in order for the sample mean test statistic
to be normally distributed (approximately) to carry out at test, we will need
a large sample size of at least so that the Central Limit Theorem can be applied.