Case Study 2 -part 2 - Essay Example

The average for the machine type one is the highest at 639.093 parts per minute with the highest standard deviation at 60.481, meaning that it also has the highest variability in machine production. Machine type two on the other hand has the lowest average rate at 120.765 ppm and the lowest standard deviation at 13.73011 attributing to its lower variability in machine production per minute. Machine type three has an average of 156.48 in the sample, a close rate in the production rate of 155 ppm as noted earlier.

On the production per day sampling, machine type 2 had an average of 120.765 ppm, while its official rating is 200 ppm. Having the number of observation, the production levels, and the time period worked by each machine type as one block of independent variables, and the machine type as the dependent variable, the p-value of the summary table shown above, that t-statistic is negative for observation and time period worked by the machine, but 0.558 for observation. This indicates that the level of significance is favorable for obtaining the observed results when the null hypothesis is true.

As shown by table 4 above, we shall reject the null hypothesis which states that machine type 1= 700, as accept the alternative hypothesis which states that machine type one is not equal to 700. This is because the calculated value of p= 0.0000002 is less than p value=0.05. For the machine type 2, the value of calculated p is close to zero which means that we reject the null hypothesis and accept the alternative hypothesis which states that Machine type 2 (rated 200 ppm) not equal to 200. While for the case of machine type 3 (rated 155 ppm) the value of calculated P=0.

8258 which is greater than p=0.05 this prompt us not to reject null hypothesis and conclude that Machine type