A foreign car manufacturer advertises that its newest model, the Bullet, rarely stops at gas stations.  In fact, they claimed that its EPA rating for highway driving is at least 32.5 mpg. However, the  results of a recent independent study determined the mpg for 50 identical models of the Bullet,  with these results: n = 50,  x = 30.4 mpg, and s = 5.3 mpg. This report failed to offer any conclusion, and you have been asked to interpret these results by  someone who has always felt that the 32.5 figure is too high. What would be your conclusion  using a significance level of 5%?

MATLAB: An Introduction with Applications
6th Edition
ISBN:9781119256830
Author:Amos Gilat
Publisher:Amos Gilat
Chapter1: Starting With Matlab
Section: Chapter Questions
Problem 1P
icon
Related questions
Question
100%

A foreign car manufacturer advertises that its newest model, the Bullet, rarely stops at gas stations. 
In fact, they claimed that its EPA rating for highway driving is at least 32.5 mpg. However, the 
results of a recent independent study determined the mpg for 50 identical models of the Bullet, 
with these results: n = 50, 
x
= 30.4 mpg, and s = 5.3 mpg.
This report failed to offer any conclusion, and you have been asked to interpret these results by 
someone who has always felt that the 32.5 figure is too high. What would be your conclusion 
using a significance level of 5%?
Z = 1.645

Expert Solution
steps

Step by step

Solved in 2 steps with 1 images

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
MATLAB: An Introduction with Applications
MATLAB: An Introduction with Applications
Statistics
ISBN:
9781119256830
Author:
Amos Gilat
Publisher:
John Wiley & Sons Inc
Probability and Statistics for Engineering and th…
Probability and Statistics for Engineering and th…
Statistics
ISBN:
9781305251809
Author:
Jay L. Devore
Publisher:
Cengage Learning
Statistics for The Behavioral Sciences (MindTap C…
Statistics for The Behavioral Sciences (MindTap C…
Statistics
ISBN:
9781305504912
Author:
Frederick J Gravetter, Larry B. Wallnau
Publisher:
Cengage Learning
Elementary Statistics: Picturing the World (7th E…
Elementary Statistics: Picturing the World (7th E…
Statistics
ISBN:
9780134683416
Author:
Ron Larson, Betsy Farber
Publisher:
PEARSON
The Basic Practice of Statistics
The Basic Practice of Statistics
Statistics
ISBN:
9781319042578
Author:
David S. Moore, William I. Notz, Michael A. Fligner
Publisher:
W. H. Freeman
Introduction to the Practice of Statistics
Introduction to the Practice of Statistics
Statistics
ISBN:
9781319013387
Author:
David S. Moore, George P. McCabe, Bruce A. Craig
Publisher:
W. H. Freeman