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A soft drink called Crash is so popular that vending machines allocate the top two selection buttons to it. Over the long run, of those who buy Crash, 60% push the top button and 40% push the lower button, and this behavior seems to be independent from one purchase to the next. Suppose that a sample of n = 10 people buy Crash at a vending machine one morning and X = the number who push the top button.
a. Is X a statistic? Explain.
b. Describe the sampling distribution of X.
Derive the corresponding Accept-Reject method and show that, when β = 1, the optimal choice of b is b = [ α]/α.
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