Production equipment needs maintenance if it is out of tolerance on 4.5% of the items processed, and it is operating satisfactorily if it is out of tolerance on only 0.8% of its output. A test is performed involving 50 sample items. If the sample proportion of out-of-tolerance items is greater than 0.02, the equipment will undergo maintenance. Otherwise it will be allowed to continue operating.
what is the probability that the equipment will undergo maintenance if it is performing satisfactorily?
what is the probability that the equipment will not undergo maintenance if it is not performing satisfactorily?