When the International Candy Company first introduced yogurt sugarless chewing gum five years ago, the mean sales was 20,840 packs per day. In recent years, the public has been placing greater emphasis on health foods and more nutritious foods. This emphasis led management to speculate that the mean daily sales will increase. Management then wishes to affirm this speculation by conducting a test of hypothesis at 0.05 level of significance. A random sample was then drawn and the data on the number of packs sold per day are as follows: 20,750 21,099 20,936 20,983 20,900 20,725 21,075 20,980 21,065 20,965 21,035 40,835 20,850 20,867 20,975 21,050 20,952 20,800 20,864 20,900 • State Ho and Ha. • Write the formula of the test statistic to be used assuming that the parent distribution is approximately normal. • State the decision rule at 0.05 level of significance. • Compute for the value of the test statistic. • Is there sufficient evidence at 0.05 level of significance for management to conclude that there was an increase in the mean daily sales compared to 5 years ago?
When the International Candy Company first introduced yogurt sugarless chewing gum five years ago, the mean sales was 20,840 packs per day. In recent years, the public has been placing greater emphasis on health foods and more nutritious foods. This emphasis led management to speculate that the mean daily sales will increase. Management then wishes to affirm this speculation by conducting a
test of hypothesis at 0.05 level of significance. A random sample was then drawn and the data on the number of packs sold per day are as follows:
20,750
21,099
20,936
20,983
20,900
20,725
21,075
20,980
21,065
20,965
21,035
40,835
20,850
20,867
20,975
21,050
20,952
20,800
20,864
20,900
• State Ho and Ha.
• Write the formula of the test statistic to be used assuming that the parent distribution is approximately normal.
• State the decision rule at 0.05 level of significance.
• Compute for the value of the test statistic.
• Is there sufficient evidence at 0.05 level of significance for management to conclude that there was an increase in the mean daily sales compared to 5 years ago?
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