Step 1: Understanding the Concept:
In hypothesis testing, the power of a statistical test is the probability that the test correctly rejects a false null hypothesis $H_0$.
Key Formula or Approach:
The power of a test is mathematically related to the probability of committing a Type II error ($\beta$) by the formula:
\[ \text{Power} = 1 - \beta \]
Step 2: Detailed Explanation:
We are given:
Probability of Type II error, $\beta = 0.2$
Using the power formula:
\[ \text{Power} = 1 - 0.2 = 0.8 \]
Therefore, the power of the test is 0.8 (or 80%).
Step 3: Final Answer
The correct option is (D).