Define, compare and contrast type 1 and type 2 error?
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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Define, compare and contrast type 1 and type 2 error?
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Decision theory is a theory meant for taking appropriate decisions. The decision which has been taken must be right in every aspect. No uncertainty must be present in the decision. These decisions are known as probabilistic outcomes. During the process of making the decision, two types of errors occur. These are Type I and Type II errors.
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