What type of error occurs if you fail to reject H0 when, in fact, it is not true?
a. Type II
b. Type I
c. either Type I or Type II, depending on the level of significance
d. either Type I or Type II, depending on whether the test is one tail or two tail
Question 2
The makers of a soft drink want to identify the average age of its consumers. A sample of 55 consumers was taken. The average age in the sample was 21 years with a standard deviation of 4 years.
a. Construct a 95 confidence interval for the true average age of the consumers.
b. Construct an 80 confidence interval for the true average age of the consumers.
c. Discuss why the 95 and 80 confidence intervals are different.