3. A small business in Irvine that sells clothing makes roughly $35 per transaction. The CEO suspects that the business has recently been making less than usual. 40 transactions are randomly sampled from recent transactions and the dollar amount of the transaction recorded. The sample has a mean of $

3. A small business in Irvine that sells clothing makes roughly $35 per transaction. The CEO suspects that the business has recently been making less than usual. 40 transactions are randomly sampled from recent transactions and the dollar amount of the transaction recorded. The sample has a mean of $

Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018

18th Edition

ISBN:9780079039897

Author:Carter

Publisher:Carter

Chapter10: Statistics

Section10.4: Distributions Of Data

Problem 19PFA

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Question

3. A small business in Irvine that sells clothing makes roughly $35 per transaction. The CEO
suspects that the business has recently been making less than usual. 40 transactions are randomly
sampled from recent transactions and the dollar amount of the transaction recorded. The sample
has a mean of $32.50 and standard deviation of $2.50.

a. Set up the null and alternative hypothesis (using mathematical notation/numbers and interpret
them in context of the problem)

b. Calculate the test statistic for the test from part a.

c. Compute the p-value for the test (use R). Round to the nearest 3rd decimal place, 0.xxx.

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