Question 236467: The State of Pennsylvania has changed one of its toll roads from manual collection of tolls to machine collection. The idea behind the change was to allow traffic to flow more quickly through the toll plaza. With human attendants, the mean number of cars passing through the toll plaza was 1,253 per hour. A random sample of 120 hours under the new machine system of toll collection shows a sample mean of 1,261 with a standard deviation of 59. Should Pennsylvania adopt the new system for all toll roads in the state?
Using the 7 steps in significance testing as outlined in Lecture 9, perform the z test for each question below. Show all 7 steps and state your conclusion
Answer by stanbon(75887)   (Show Source):
You can put this solution on YOUR website! The State of Pennsylvania has changed one of its toll roads from manual collection of tolls to machine collection. The idea behind the change was to allow traffic to flow more quickly through the toll plaza. With human attendants, the mean number of cars passing through the toll plaza was 1,253 per hour. A random sample of 120 hours under the new machine system of toll collection shows a sample mean of 1,261 with a standard deviation of 59. Should Pennsylvania adopt the new system for all toll roads in the state?
Using the 7 steps in significance testing as outlined in Lecture 9, perform the z test for each question below. Show all 7 steps and state your conclusion.
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Ho: u = 1253
H1: u is not 1253
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Critical value: Assume alpha = 5%; crit. values = +/-1.96
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test stat: z(1261-1253)/[59/sqrt(120)] = 1.4853
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Conclusion: Since the test stat is not in the reject interval,
do not reject Ho. Don't change the system.
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Cheers,
Stan H.
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