2,222 dollars. Test the hypothesis that the true value of property lost in burglaries is more than $2,000. Use alpha = .002

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7. You are interested in the average dollar amount lost by
victims of burglary. The National Insurance Association
has reported the mean dollar amount lost by victims of
burglary is $2,000 with a standard deviation of 600.
Assume this is the population mean and population
standard deviation. You believe that the true loss is more
than this, so you take a sample of 100 burglary victims and
ask them to report the value of the property that was stolen
from them. Your sample reported an average dollar loss of
2,222 dollars. Test the hypothesis that the true value of
property lost in burglaries is more than $2,000. Use alpha =
.002
Transcribed Image Text:7. You are interested in the average dollar amount lost by victims of burglary. The National Insurance Association has reported the mean dollar amount lost by victims of burglary is $2,000 with a standard deviation of 600. Assume this is the population mean and population standard deviation. You believe that the true loss is more than this, so you take a sample of 100 burglary victims and ask them to report the value of the property that was stolen from them. Your sample reported an average dollar loss of 2,222 dollars. Test the hypothesis that the true value of property lost in burglaries is more than $2,000. Use alpha = .002
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