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A Company Has a Contract to Supply Specialized Batteries to a Manufacturer

Question 18

Multiple Choice

A company has a contract to supply specialized batteries to a manufacturer with a mean width of 54mm and a standard deviation of 1.5 or less with an alpha of 0.10.The company randomly tests 25 of these batteries to ensure that they are meeting the requirements of the contract.If the most recent test had a standard deviation of 1.8, what should the company do?


A) Continue production
B) Test the mean
C) Break the contract
D) Stop production to fix issues
E) Ask to revise the contract

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