Compaq Computer Corporation has an assembly plant in Houston, where the company’s Deskpro computer is built. Engineers at the plant are considering a new production facility and are interested in going online with the new facility if and only if they can be fairly sure that the variance of the number of computers assembled per day using the new facility is lower than the production variance of the old system. A random sample of 40 production days using the old production method gives a sample variance of 1,288, and a random sample of 15 production days using the proposed new method gives a sample variance of 1,112. Conduct the appropriate test at α = 0.05.
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.
Compaq Computer Corporation has an assembly plant in Houston, where the company’s Deskpro computer is built. Engineers at the plant are considering a new production facility and are interested in going online with the new facility if and only if they can be fairly sure that the
variance of the number of computers assembled per day using the new facility is lower than the production variance of the old system. A random sample of 40 production days using the old production method gives a sample variance of 1,288, and a random sample of 15 production days
using the proposed new method gives a sample variance of 1,112. Conduct the appropriate test at α = 0.05.
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