Question 147460: Faced with the rising fax costs, a firm issued a guideline that transmission 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 4.45 pages. (a). At the .01 level of significance, is the true mean greater that 10? (b) Use Excel to find the right-tail p-value.
Answer by stanbon(75887)   (Show Source):
You can put this solution on YOUR website! Faced with the rising fax costs, a firm issued a guideline that transmission 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 4.45 pages.
(a). At the .01 level of significance, is the true mean greater that 10?
Ho: u = 10
Ha: u > 10
I ran a T-test and got the following results:
test statistic: t = 5.908...
(b) Use Excel to find the right-tail p-value.
p-value = P(5.908,10,df=34)= 0.0000005758...
Conclusion:
Since p-value is less than 1% reject Ho.
The mean number of transmissions is greater than 10.
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Cheers,
Stan H.
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