Assume that a random sample of size 25 is to be taken from a normal population with μ = 10 and σ = 2. The value of μ, however, is not known by the person taking the sample.
(a) Suppose that the person taking the sample tests H0:μ = 10:4 against H1:μ 10:4. Although this null hypothesis is not true, it may not be rejected, and a type II error may therefore be committed. Compute β if α = 0:05.
(b) Suppose the same hypothesis is to be tested as that of part (a) but α = 0:01. Compute β.
(c) Suppose the person wanted to test H0:μ = 11:2 against H1: μ 11:2. Compute β for α = 0:05 and α = 0:01.
(d) Suppose that the person decided to use H1:μ 11:2. Calculate β for α = 0:05 and α = 0:01.
(e) What principles of hypothesis testing are illustrated by these exercises?
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