Hold, please! ~ Ask A Nurse is a service provided to subscribers of a large health insurance company where customers can call a toll-free number and ask a nurse about non-urgent health problems. The company has set a goal that customers wait no more than 6 minutes on hold to speak to a nurse. In order to manage staff hours and availability, they want to set up a quality control process. They will assume that wait times are normally distributed with a standard deviation of 3.4 minutes and take a random sample of 6 calls every shift. If the mean wait time for a shift is more than 6.1 minutes, they will reallocate resources to try to bring the wait time down. Round all calculated values to 4 decimal places. The testable hypotheses in this situation are: Ho : µ = 6 vs. Ha : µ > 6 1. Identify the consequences of making a Type I error. O A. Resources will be reallocated when it is not necessary. OB. Resources will not be reallocated when it is necessary OC. Resources will be reallocated when it is necessary. OD. Resources will not be reallocated when it is not necessary. 2. Identify the consequences of making a Type II error. O A. Resources will not be reallocated when it is not necessary. OB. Resources will be reallocated when it is not necessary. OC. Resources will not be reallocated when it is necessary OD. Resources will be reallocated when it is necessary. 3. What is the chance management will make a Type I error with the decision rule of reallocating resources if the sample mean is more than 6.1 minutes? Chance of a Type I error = 4. Using the same decision rule, what is the power of the hypothesis test if the true mean time is 6.8 minutes? Power =

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Continuous Probability Distributions

Probability distributions are of two types, which are continuous probability distributions and discrete probability distributions. A continuous probability distribution contains an infinite number of values. For example, if time is infinite: you could count from 0 to a trillion seconds, billion seconds, so on indefinitely. A discrete probability distribution consists of only a countable set of possible values.

Normal Distribution

Suppose we had to design a bathroom weighing scale, how would we decide what should be the range of the weighing machine? Would we take the highest recorded human weight in history and use that as the upper limit for our weighing scale? This may not be a great idea as the sensitivity of the scale would get reduced if the range is too large. At the same time, if we keep the upper limit too low, it may not be usable for a large percentage of the population!