6. The average cost of owning and operating an automobile is s8030 per 15,000 miles including fixed and variable costs. A random survey of 100 automobile owners revealed an average cost of $8350 with a population standard deviation of $950. Use 5% significance level to test that the average cost is $8030. Answer the following questions. i. Identify-the claim-and-state the Ho-and Hi. (solved) ii. Find the critical value. (solved) ii. Calculate the test-statistic. (solved) iv. Calculate the p-value. v. Make a decision to reject or fail to reject the Ho. vi. Interpret the decision in the context of the original claim

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6. The average cost of owning and operating an automobile is $8030 per 15,000 miles including fixed
and variable costs. A random survey of 100 automobile owners revealed an average cost of $8350
with a population standard deviation of $950. Use 5% significance level to test that the average cost
is $8030. Answer the following questions.
i. Identify the claim and state the Ho-and Hi. (solved)
ii. Find the critical value. (solved)
ii. Calculate the test statistic. (solved)
iv. Calculate the p-value.
v. Make a decision to reject or fail to reject the Ho.
vi. Interpret the decision in the context of the original claim
Transcribed Image Text:6. The average cost of owning and operating an automobile is $8030 per 15,000 miles including fixed and variable costs. A random survey of 100 automobile owners revealed an average cost of $8350 with a population standard deviation of $950. Use 5% significance level to test that the average cost is $8030. Answer the following questions. i. Identify the claim and state the Ho-and Hi. (solved) ii. Find the critical value. (solved) ii. Calculate the test statistic. (solved) iv. Calculate the p-value. v. Make a decision to reject or fail to reject the Ho. vi. Interpret the decision in the context of the original claim
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