Concept explainers
For Exercises 1 through 25, perform each of the following steps.
a. State the hypotheses and identify the claim.
b. Find the critical value(s).
c. Compute the test value.
d. Make the decision.
e. Summarize the results.
Use diagrams to show the critical region (or regions), and use the traditional method of hypothesis testing unless otherwise specified.
3. Revenue of Large Businesses A researcher estimates that the average revenue of the largest businesses in the United States is greater than $24 billion. A random sample of 50 companies is selected, and the revenues (in billions of dollars) are shown. At α = 0.05, is there enough evidence to support the researcher’s claim? Assume σ = 28.7.
Source: New York Times Almanac.
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Elementary Statistics: A Step By Step Approach
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