2. A producer of pharmaceutical claims that it is 90% effective in relieving hypersensitivity for a period of 8 hours. In a test of 200 individuals who had hypersensitivity, the medicine provided...


2. A producer of pharmaceutical claims that it is 90% effective in relieving hypersensitivity for a period of 8 hours. In a test of 200 individuals who had hypersensitivity, the medicine provided relief for 160 individuals.






c. What is the t-value/z-score?



    i. t = 4.71
    ii. z = -4.71
    iii. t = 2.82
    iv. z = -3.21
    v. None of the above.





d. Decide whether the manufacturer’s claim is legitimate or not at 1% level.







    i. The medicine is less than 90% effective.







    ii. The medicine is 90% effective.
    iii. The medicine is greater than 90% effective.
    iv. The medicine is not effective but we cannot conclude that it is less than or greater than 90% effective.
    v. None of the above.







Jun 03, 2022
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