a) In a certain electronic appliances industry, the acceptance sampling process is conducted to inspect the raw material shipments. The ICs and components are supplied by various vendors in huge quantities. In the inspections, the components are randomly selected and tested. At ABC Industries, the QC department accepts a lot if the defective chips and components are not more than 2.5%. Suppose that in a certain test, the quality control inspector picks 25 components from a huge shipment randomly and tests them. Assuming the probability of any component found defective remain the same from trial to trial, answer the following: i. Given that 2.3% of the whole shipment is defective. What is the probability that no items in the sample is found defective? What is the probability of getting 2 or more bad components in the sample if 3% of the shipment is defective? Refer to part ii, as a QC inspector would you accept a shipment if two items were found to be defective? Why or why not? ii. iii.

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Correlation

Correlation defines a relationship between two independent variables. It tells the degree to which variables move in relation to each other. When two sets of data are related to each other, there is a correlation between them.

Linear Correlation

A correlation is used to determine the relationships between numerical and categorical variables. In other words, it is an indicator of how things are connected to one another. The correlation analysis is the study of how variables are related. 

Regression Analysis

Regression analysis is a statistical method in which it estimates the relationship between a dependent variable and one or more independent variable. In simple terms dependent variable is called as outcome variable and independent variable is called as predictors. Regression analysis is one of the methods to find the trends in data. The independent variable used in Regression analysis is named Predictor variable. It offers data of an associated dependent variable regarding a particular outcome.