A local juice manufacturer distributes juice in bottles labeled 12 ounces. A government agency thinks that the company is cheating its customers. The agency selects 20 of these bottles, measures their contents, and obtains a sample mean of 11.7 ounces with a standard deviation of 0.7 ounce. Use a 0.01 significance level to test the agencyʹs claim that the company is cheating its customers. Round the test statistic to the nearest thousandth.

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Answer with explanation:

Let [tex]\mu[/tex] be the population mean .

By considering the given information , we have the following hypothesis :-

[tex]H_0:\mu=12\\\\H_a:\mu\neq12[/tex]

Since the alternative hypotheses is two tailed so the test is a two tailed test.

We assume that the quantity of juices is normally distributed.

Given : Sample size :  n=20 , which is less than 30 .

It means the sample is small so we use t-test.

Sample mean : [tex]\overline{x}=11.7\text{ ounces}[/tex]

Standard deviation : [tex]\sigma=0.7\text{ ounces}[/tex]

Test statistic for population mean :-

[tex]t=\dfrac{\overline{x}-\mu}{\dfrac{\sigma}{\sqrt{n}}}[/tex]

[tex]\Rightarrow\ t=\dfrac{11.7-12}{\dfrac{0.7}{\sqrt{20}}}\approx-1.917[/tex]

Critical value : [tex]t_{n-1,\alpha/2}=2.861[/tex]

Since the  critical value is greater than the observed value , so we reject the null hypothesis.

Hence, we have enough evidence to support the agency's claim.

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