Answered: A Brisbane warehouse buys pre-packed…

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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A Brisbane warehouse buys pre-packed bulk bags of Bundaberg Sugar with an advertised mean weight of 20 kilograms. To determine the validity of the advertised claim, the warehouse manager took a random sample of 55 packets from the latest shipment and found an average weight of the packets of 20.011 kilograms. Bundaberg Sugar know, from analysing data over many years, that their 20kg bulk bag packing process results in a standard deviation of 45 grams. 1. State the direction of the alternative hypothesis used to test the advertised claim. Type the letters gt (greater than), ge (greater than or equal to), lt (less than), le (less than or equal to) or ne (not equal to) as appropriate in the box. 2. Use the tables in the text to determine the critical value used to conduct the test, assuming a 10% level of significance. If there are two critical values, state only the positive value. 3. Calculate the test statistic, reporting your answer to two decimal places 4. Is the null hypothesis rejected for this test? Type yes or no. 5. If it is shown later that the "true" average weight of the bags was 20 kilograms as Bundaberg Sugar had claimed, determine the nature of the decision made in the test. Type cd (correct decision), 1 (a Type I error was made) or 2 (a Type II error was made) as appropriate 6. Regardless of your answer for 4, if the null hypothesis was rejected, would Bundaberg Sugar's advertised claim be valid at the 10% level of significance? Type yes or no.

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