Terminating Simulations
(ii) Testing whether utilization ? meets some standard, e.g., to test whether ??0.90.
Apply the hypothesis testing:
level of significant ?=0.05 or the
significant level of the test is
?=0.05=Pr (reject H0/H0 true)
So based on the 4 independent replications, the sample mean
=0.808 and standard deviation
=0.0722, the critical value is:
Based on the simulation results, the
test statistic is computed as
Since , H0 is rejected. With the current design of the system, there is strong evidence in support of the hypothesis that the service utilization is less than 0.90.