Discussion:
Q1. A coin was flipped 60 tikes and came up heads 38 times.
A) At the .10 level of significance is the coin biased towards heads? Show your decision rule and calculations.
B) Calculate a p-value and interpret it.
Q2. The web based company Oh Baby! Gifts has a goal of processing 95 percent of its orders on the same day they are received. If 485 out of the next 500 orders are processed on the same day would this prove that they are exceeding their goals using a=.025
Q3. An auditor reviewed 25 oral surgery insurance claims for a particular surgical office, determining that the mean out of pocket patient billing above the reimbursed amount was $275.66 with a standard deviation of $78.11.
A) At the 5% level of significance does this sample prove a violation of the guideline that the average patient should pay no more than $250 out of pocket.