A drug manufacturer claims that a certain drug cures a blood disease, on the average, 80% of the time. To check the claim, government testers use the drug on a sample of 100 individuals and decide to accept the claim if 75 or more are cured. (a) What is the probability that the claim will be rejected when the cure probability is, in fact, 0.8? (b) What is the probability that the claim will be accepted by the government when the cure probability is as low as 0.7?
Contingency Table
A contingency table can be defined as the visual representation of the relationship between two or more categorical variables that can be evaluated and registered. It is a categorical version of the scatterplot, which is used to investigate the linear relationship between two variables. A contingency table is indeed a type of frequency distribution table that displays two variables at the same time.
Binomial Distribution
Binomial is an algebraic expression of the sum or the difference of two terms. Before knowing about binomial distribution, we must know about the binomial theorem.
0 A drug manufacturer claims that a certain drug cures a blood disease, on the average, 80% of the
time. To check the claim, government testers use the drug on a sample of 100 individuals and decide to
accept the claim if 75 or more are cured.
(a) What is the probability that the claim will be rejected when the cure probability is, in fact, 0.8?
(b) What is the probability that the claim will be accepted by the government when the cure probability
is as low as 0.7?
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