They should quote 150 hours so that they can get 98% of the batteries to meet the guarantee.
Given mean of 140 hours and standard deviation of 4 hours with confidence level=98%.
We have to find the lifespan which they should quote to get 98% confident that their batteries meet the guarantee.
We have to use z test for this .
μ=140 hours and σ=4 hours
Z=X-μ/σ
When p value is 0.98 then from z table z value will be 2.58.
Z=X-140/4
2.58=X-140/4
2.58*4=X-140
10.32=X-140
X=150.32
after rounding off we will get 150 hours.
Hence they should quote 150 hours of lifetime on batteries.
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