Allstate Batteries advertises and sells a 4 year (48 months) battery.  You work at Consumer Digest, a consumer advocacy organization, and have been receiving complaints from consumers who felt they were not receiving their full 48 months.  Test Allstate’s claim that these are 48 month batteries at the 5% level of significance.  You have tested a sample of 36 cars and found a mean of 45months and a standard deviation of 1 month.  State the appropriate hypotheses from the consumers’ point of view, show drawing and appropriate critical value, compute the appropriate test statistic, accept(fail to reject)/reject the null hypothesis and draw conclusion.  Do you believe the batteries are as advertised?

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Allstate Batteries advertises and sells a 4 year (48 months) battery.  You work at Consumer Digest, a consumer advocacy organization, and have been receiving complaints from consumers who felt they were not receiving their full 48 months.  Test Allstate’s claim that these are 48 month batteries at the 5% level of significance.  You have tested a sample of 36 cars and found a mean of 45months and a standard deviation of 1 month.  State the appropriate hypotheses from the consumers’ point of view, show drawing and appropriate critical value, compute the appropriate test statistic, accept(fail to reject)/reject the null hypothesis and draw conclusion.  Do you believe the batteries are as advertised?

 

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