document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=136377>Question 136377</A>This question is from textbook <A HREF=http://www.amazon.com/exec/obidos/ASIN/9780072966930/algebrahomeworkh>Applied Statistics in Business and Economics</A><BR>\n" );
document.write( ": <I><SPAN STYLE=\"word-break: break-all;\"> Faced with rising fax costs, a firm issued a guideline that transmissions of 10 pages or more should be sent by 2-day mail instead. Exceptions are allowed, but they want the average to be 10 or below. The firm examined 35 randomly chosen fax transmissions during the next year, yielding a sample mean of 14.44 with a standard deviation of 4.45 pages. (a) At the .01 level of significance, is the true mean greater than 10? (b) Use Excel to find the right-tail p-value. </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #99929 by </B><A HREF=/tutors/aboutme.mpl?userid=stanbon><B>stanbon(75887)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=stanbon><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=99929\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> Faced with rising fax costs, a firm issued a guideline that transmissions of 10 pages or more should be sent by 2-day mail instead. Exceptions are allowed, but they want the average to be 10 or below. The firm examined 35 randomly chosen fax transmissions during the next year, yielding a sample mean of 14.44 with a standard deviation of 4.45 pages. <BR>\n" );
document.write( "(a) At the .01 level of significance, is the true mean greater than 10?<BR>\n" );
document.write( "Ho: mu = 10<BR>\n" );
document.write( "Ha: mu > 10<BR>\n" );
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document.write( "Critical value for one-tail test with alpha=1% and df=34 is 2.3263<BR>\n" );
document.write( "Test statistic: <BR>\n" );
document.write( "t(14.44) = (14.44-10)/[4.45/(sqrt35)] = 5.9028<BR>\n" );
document.write( "Conclusion: Since test stat is greater than critical value, reject Ho.<BR>\n" );
document.write( "The test provides statistical evidence that mu > 10<BR>\n" );
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document.write( "(b) Use Excel to find the right-tail p-value.<BR>\n" );
document.write( "p-value = P(5.9028 < t < 10) = 0.00000057579...<BR>\n" );
document.write( "Since the p-value is so much smaller than 1% this is very stong evidence for rejecting Ho and supporting Ha.<BR>\n" );
document.write( "=========================<BR>\n" );
document.write( "Cheers,<BR>\n" );
document.write( "Stan H.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( " </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );