Suppose That a Manufacturer Is Testing One of Its Machines

Multiple Choice

Suppose that a manufacturer is testing one of its machines to make sure that the machine is producing more than 97% good parts (H0: p = 0.97 and HA: p > 0.97) . The test results in a P-value of 0.102. In reality, the machine is producing 99% good parts. What probably happens as a result of our testing?

A) We correctly fail to reject H0.
B) We correctly reject H0.
C) We reject H0, making a Type I error.
D) We fail to reject H0, making a Type I error.
E) We fail to reject H0, making a Type II error.