Grace Floral Shop claims that their average daily earnings is $497. An auditor wants to determine whether this claim is true. The auditor randomly selected a sample of 100 days and found that the sample mean earnings was $495 with a sample standard deviation of 9.75. a. Calculate the 97% confidence interval for the population mean daily Assist the auditor in conducting a hypothesis test, at the 3% level of significance, to determine whether the claim about their average daily earnings was overstated. b. State the null and the alternative hypothesis for this test. Using the p-value approach, state the decision rule for this c. Calculate the value of the test statistic for this test. Also, Calculate the p-value for this test? d. State the conclusion of this test. Give reason for your answer
Grace Floral Shop claims that their average daily earnings is $497. An auditor wants to determine whether this claim is true. The auditor randomly selected a sample of 100
days and found that the sample mean earnings was $495 with a sample standard deviation of 9.75.
a. Calculate the 97% confidence interval for the population mean daily
Assist the auditor in conducting a hypothesis test, at the 3% level of significance, to determine whether the claim about their average daily earnings was overstated.
b. State the null and the alternative hypothesis for this test. Using the p-value approach, state the decision rule for this
c. Calculate the value of the test statistic for this test. Also, Calculate the p-value for this test?
d. State the conclusion of this test. Give reason for your answer
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