Lumber companies dry freshly-cut wood in kilns before selling it. As a result of this drying process, a certain percentage of the boards crack. The current drying procedure is known to produce cracks in 16% of the boards. The drying supervisor wants to test a new method so as to reduce the proportion of cracked boards. Suppose the drying supervisor uses the new method on a random sample of 50 boards and finds that the sample proportion of cracked boards is 0.11, which yields a P-value of 0.027. (a) Interpret the P-value in the context of the problem. (b) What conclusion should the supervisor draw at the  = 0.05 level?

MATLAB: An Introduction with Applications
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Lumber companies dry freshly-cut wood in kilns before selling it. As a result of this drying process, a certain
percentage of the boards crack. The current drying procedure is known to produce cracks in 16% of the boards.
The drying supervisor wants to test a new method so as to reduce the proportion of cracked boards. Suppose the
drying supervisor uses the new method on a random sample of 50 boards and finds that the sample proportion of
cracked boards is 0.11, which yields a P-value of 0.027.
(a) Interpret the P-value in the context of the problem.

(b) What conclusion should the supervisor draw at the  = 0.05 level?
 
(c) What conclusion should the supervisor draw at the  = 0.01 level?
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