# Question

Comstock Resources, a Texas oil and gas exploration company, reports that the average cost of drilling a well is $ 1.65 million (source: news. corporate. findlaw.com). Crowder Drilling claims that its new technology will reduce that average cost per well. To make its case, Crowder cites a random sample of 40 wells that were dug using its new technology. The average cost for the sample of wells is $ 1.52 million.

a. Is this sample result sufficient to make Crowder’s case? Use a significance level of 5% and assume the population standard deviation is $. 64million.

b. Report the p value for this sample result and explain what it means.

a. Is this sample result sufficient to make Crowder’s case? Use a significance level of 5% and assume the population standard deviation is $. 64million.

b. Report the p value for this sample result and explain what it means.

## Answer to relevant Questions

The Magnus Timber Company claims that it has replanted an average of (at least) 1500 trees per acre in areas that the company has harvested. Friends of the Forest, a conservation group, insists that the average is less than ...Suppose you are testing the following hypotheses: H0: = 1000 (The population mean is 1000.) Ha: ≠ 1000 (The population mean is not 1000.) Sample size is 81. The sample mean is 975. The population standard deviation is 90. ...It is estimated that the average downtime for computer systems at businesses across the country is 175 hours a year (source: networkworld.com). In a sample of 50 companies located outside major metropolitan areas, the ...Suppose you are testing the following hypotheses: H0: μ > 4000 Ha: μ < 4000 Sample size is 16. The sample mean is 3920 and the sample standard deviation is 200. The significance level is .01. Assume that the values in the ...Plexon Tire and Rubber Company claims that its Delton III tires have an average life of at least 50,000 miles. You take a random sample of 50 Delton III tires to test Plexon’s claim. The average life for the tires in your ...Post your question

0