Answer:
1.
Option B) Reject the claim that the proportion of settled malpractice suits is 0.26 when the proportion is actually 0.26
2.
Option C) Fail to reject the claim that the proportion of settled malpractice suits is 0.26 when the proportion is actually different from 0.26
Step-by-step explanation:
We are given the following claim:
Claim: The proportion of settled medical malpractice suits is 0.26
Thus, we can design the null hypothesis as
[tex]H_{0}: p = 0.26[/tex]
Type I error:
It is the error made when we reject the null hypothesis given it is true.
Thus, the type I error with respect to given claim would be
Option B) Reject the claim that the proportion of settled malpractice suits is 0.26 when the proportion is actually 0.26
Type II error:
It is defined as the error made when we fail to reject the null hypothesis given it is not true.
Thus, the type II error with respect to given claim would be
Option C) Fail to reject the claim that the proportion of settled malpractice suits is 0.26 when the proportion is actually different from 0.26