A car company claims that the mean gas mileage for its luxury sedan is at least 23
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A car company claims that the mean gas mileage for its luxury sedan is at least 23 miles per gallon. You believe the claim is incorrect and find that a random sample of 5 cars has a mean gas mileage of 22 miles per gallon and a standard deviation of 4 miles per gallon. At α = 0.05, test the company’s claim. Assume the population is normally distributed.
Decide whether you should use the standard normal sampling distribution or a t-sampling distribution to perform the hypothesis test. Justify your decision. Then use the distribution to test the claim. Write a short paragraph about the results of the test and what you can conclude about the claim.
DistributionThe word "distribution" has several meanings in the financial world, most of them pertaining to the payment of assets from a fund, account, or individual security to an investor or beneficiary. Retirement account distributions are among the most...
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Related Book For
Elementary Statistics Picturing The World
ISBN: 9780321911216
6th Edition
Authors: Ron Larson, Betsy Farber
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