Please follow these instructions for # 69 For each of the following problems,ple

Question

Please follow these instructions for # 69 For each of the following problems,please provide the requested indnaghiailed or two a) State the null and alternative hypotheses. Will you use a le tailed test? What is the level of significance? b) Sketch the critical region and show the critical values on the sketch. c) Run the test and state your conclhusion in the context of the problem d) List the P and z values if applicable or just the t values used. 6. A large furmiture store has begun a new ad campaign. Before the campaign the long term average daily sales were at most S24.819·They now claim that the mean daily sales are now more than $24,819. A random sample of 40 days during the new ad campaign gave a sample mean daily sales of S25820 ( -S 1917) Does this indicate that the claim is correct? Use a 1% level of significance.

Explanation / Answer

Below are the null and hypothesis
H0: mu = 24819
H1: mu > 24819

this is right tailed test

significance level is 0.01

xbar = 25820
std. dev. = 1917

Here t-test is used as population std. dev. is not known.

Test statistics, t = (25820 - 24819)/1917 = 0.5221

p-value = 0.3023

As p-value is greater than the significance level of 0.05, we fail to reject the null hypothesis.

this means there are not sufficient evidence to conclude that mean is greater than 24819.

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