A Company Manufacturing Computer Chips Finds That 8% of All

Essay

A company manufacturing computer chips finds that 8% of all chips manufactured are
defective. Management is concerned that high employee turnover is partially responsible
for the high defect rate. In an effort to decrease the percentage of defective chips,
management decides to provide additional training to those employees hired within the
last year. After training was implemented, a sample of 450 chips revealed only 27
defects. Was the additional training effective in lowering the defect rate?
A. Write the null and alternative hypotheses.
b. What is the value of the test statistic?
c. What is the associated P-value?
d. State your conclusion using α = 0.01.