Alex's boss is hiring new workers. Alex is assigned to find out what percentage of the applicants are qualified for the job. Alex reads through 36 applications, and determines what fraction of those applicants are qualified. Let K be a random variable which takes the value 1 if the applicant is qualified and O if not. a) Alex's employer believes that 60% of the applicants are qualified. What is the expected value of X and its variance? b) Alex wants to test the hypothesis that 60% of the applicants are qualified. Let P be the fraction of the 36 applicants Alex observe who are actually qualified. What is the standard deviation of P? c) Find the rejection region for a test of size 5% of this hypothesis. If Alex discovered that 15 of the 36 applicants are qualified, would you reject the hypothesis that 60% are qualified, or not reject it? d) Suppose the truth is that only 50% of applicants are qualified. Find the chance that we would make a type 2 error and incorrectly accept the null hypothesis that 60% are qualified.

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Alex's boss is hiring new workers. Alex is assigned to
find out what percentage of the applicants are
qualified for the job. Alex reads through 36
applications, and determines what fraction of those
applicants are qualified. Let K be a random variable
which takes the value 1 if the applicant is qualified
and O if not.
a) Alex's employer believes that 60% of the applicants
are qualified. What is the expected value of X and its
variance?
b) Alex wants to test the hypothesis that 60% of the
applicants are qualified. Let P be the fraction of the
36 applicants Alex observe who are actually qualified.
What is the standard deviation of P?
c) Find the rejection region for a test of size 5% of this
hypothesis. If Alex discovered that 15 of the 36
applicants are qualified, would you reject the
hypothesis that 60% are qualified, or not reject it?
d) Suppose the truth is that only 50% of applicants
are qualified. Find the chance that we would make a
type 2 error and incorrectly accept the null
hypothesis that 60% are qualified.
Transcribed Image Text:Alex's boss is hiring new workers. Alex is assigned to find out what percentage of the applicants are qualified for the job. Alex reads through 36 applications, and determines what fraction of those applicants are qualified. Let K be a random variable which takes the value 1 if the applicant is qualified and O if not. a) Alex's employer believes that 60% of the applicants are qualified. What is the expected value of X and its variance? b) Alex wants to test the hypothesis that 60% of the applicants are qualified. Let P be the fraction of the 36 applicants Alex observe who are actually qualified. What is the standard deviation of P? c) Find the rejection region for a test of size 5% of this hypothesis. If Alex discovered that 15 of the 36 applicants are qualified, would you reject the hypothesis that 60% are qualified, or not reject it? d) Suppose the truth is that only 50% of applicants are qualified. Find the chance that we would make a type 2 error and incorrectly accept the null hypothesis that 60% are qualified.
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