An entrepreneur is considering the purchase of a coin-operated laundry. The current owner claims that over the
Question:
An entrepreneur is considering the purchase of a coin-operated laundry. The current owner claims that over the past 10 years, the average daily revenue was $675 with a standard deviation of $75. A sample of 30 days reveals daily revenue of $625.
Consider H0: µ = 675 versus Ha: µ < 675
At the .05 level of significance , is there evidence that the average daily revenue is less than 675
Compute the p-value and interpret its meaning
Construct a 95% confidence interval estimate of the population mean revenue of coin-operated laundry.
Compare the results of (a) , (b), and (c). What conclusions do you reach?
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Instructions:
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State the Hypothesis
Draw the normal distribution and identify the acceptance and rejection regions
Make your decision with respect to each part of the question.
Expert Answer:
Ho 615 Ha 615 Since the sample sieis large n 30 and standard deviation is know we use normal ... View the full answer
