A tire store advertises that the average price of a new set of their tires is only $150. One of their recent customers believes their advertised average is too low – that the true mean price for a set of tires exceeds $150. He plans to carry out a hypothesis test at α = 0.05. In order to perform the test, the customer took an SRS of 8 sets of tires recently sold. The mean of these sets of tires was x̅ = $156.90 and the standard deviation was s = $11.80. a)What is the value of the t test statistic for this test? 2.44 1.55 1.65 0.58 b) Suppose the value for the t test statistic is t = 1.79. What is the p-value for a one-sided test? 0.025 < p-value < 0.10 0.05 < p-value < 0.10 0.10 < p-value < 0.15 0.10 < p-value < 0.20 0.02 < p-value < 0.025 c) Suppose the p-value of the test is found to be 0.0715 using statistical software. What is the appropriate conclusion at α = 0.05. Reject the null hypothesis. We have sufficient evidence to conclude that the mean price of a set of tires is significantly greater than $150. Reject the null hypothesis. We do not have sufficient evidence to conclude that the mean price of a set of tires is significantly greater than $150. Fail to reject the null hypothesis. We have sufficient evidence to conclude that the mean price of a set of tires is significantly greater than $150. Fail to reject the null hypothesis. We do not have sufficient evidence to conclude that the mean price of a set of tires is significantly greater than $150.
A tire store advertises that the average price of a new set of their tires is only $150. One of their recent customers believes their advertised average is too low – that the true mean price for a set of tires exceeds $150. He plans to carry out a hypothesis test at α = 0.05. In order to perform the test, the customer took an SRS of 8 sets of tires recently sold. The mean of these sets of tires was x̅ = $156.90 and the standard deviation was s = $11.80. a)What is the value of the t test statistic for this test? 2.44 1.55 1.65 0.58 b) Suppose the value for the t test statistic is t = 1.79. What is the p-value for a one-sided test? 0.025 < p-value < 0.10 0.05 < p-value < 0.10 0.10 < p-value < 0.15 0.10 < p-value < 0.20 0.02 < p-value < 0.025 c) Suppose the p-value of the test is found to be 0.0715 using statistical software. What is the appropriate conclusion at α = 0.05. Reject the null hypothesis. We have sufficient evidence to conclude that the mean price of a set of tires is significantly greater than $150. Reject the null hypothesis. We do not have sufficient evidence to conclude that the mean price of a set of tires is significantly greater than $150. Fail to reject the null hypothesis. We have sufficient evidence to conclude that the mean price of a set of tires is significantly greater than $150. Fail to reject the null hypothesis. We do not have sufficient evidence to conclude that the mean price of a set of tires is significantly greater than $150.
Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
18th Edition
ISBN:9780079039897
Author:Carter
Publisher:Carter
Chapter10: Statistics
Section10.1: Measures Of Center
Problem 9PPS
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A tire store advertises that the average price of a new set of their tires is only $150. One of their recent customers believes their advertised average is too low – that the true mean price for a set of tires exceeds $150. He plans to carry out a hypothesis test at α = 0.05. In order to perform the test, the customer took an SRS of 8 sets of tires recently sold. The mean of these sets of tires was x̅ = $156.90 and the standard deviation was s = $11.80.
a)What is the value of the t test statistic for this test?
2.44
1.55
1.65
0.58
b) Suppose the value for the t test statistic is t = 1.79. What is the p-value for a one-sided test?
0.025 < p-value < 0.10
0.05 < p-value < 0.10
0.10 < p-value < 0.15
0.10 < p-value < 0.20
0.02 < p-value < 0.025
c) Suppose the p-value of the test is found to be 0.0715 using statistical software. What is the appropriate conclusion at α = 0.05.
Reject the null hypothesis. We have sufficient evidence to conclude that the mean price of a set of tires is significantly greater than $150.
Reject the null hypothesis. We do not have sufficient evidence to conclude that the mean price of a set of tires is significantly greater than $150.
Fail to reject the null hypothesis. We have sufficient evidence to conclude that the mean price of a set of tires is significantly greater than $150.
Fail to reject the null hypothesis. We do not have sufficient evidence to conclude that the mean price of a set of tires is significantly greater than $150.
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