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Question: The Lazer Company has a contract to produce a part for Boeing Corporation that must have an average diameter of 6 inches and a standard deviation of 0.10 inch. The Lazer Company has developed the process that will meet the specifications with respect to the standard deviation, but it is still trying to meet the mean specifications. A test run (considered a random sample) of parts was produced, and the company wishes to determine whether this latest process that produced the sample will produce parts meeting the requirement of an average diameter equal to 6 inches.
a. Specify the appropriate research, null, and alternative hypotheses.
b. Develop the decision rule assuming that the sample size is 200 parts and the significance level is 0.01.
c. What should the Lazer Company conclude if the sample mean diameter for the 200 parts is 6.03 inches? Discuss.
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