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Problem 1: According to the website lendingtree.com, the average debt is $5700 per household in America. The mayor of a small town is wondering if the average debt for people in his town is lower than the national average. He surveyed an SRS of 28 households and found that the average debt is $5437 with a standard deviation of $2014. The data does not show any strong outliers or skewness. a) Do we have some evidence to suggest that the average debt for people in this town is lower than the national average? Explain. b) Perform a hypothesis test at a significance level, alpha = 0.10.

Problem 1: According to the website lendingtree.com, the average debt is $5700 per household in America. The mayor of a small town is wondering if the average debt for people in his town is lower than the national average. He surveyed an SRS of 28 households and found that the average debt is $5437 with a standard deviation of $2014. The data does not show any strong outliers or skewness. a) Do we have some evidence to suggest that the average debt for people in this town is lower than the national average? Explain. b) Perform a hypothesis test at a significance level, alpha = 0.10.

Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
Glencoe Algebra 1, Student Edition, 9780079039897, 0079039898, 2018
18th Edition
ISBN:9780079039897
Author:Carter
Publisher:Carter
Chapter10: Statistics
Section10.6: Summarizing Categorical Data
Problem 23PPS
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Can I get some help on problem 1 A and B

Problem 1: According to the website lendingtree.com, the average debt is $5700 per household in America. The mayor of a small town is wondering if the average debt for people in his town is lower than the national average. He surveyed an SRS of 28 households and found that the average debt is $5437 with a standard deviation of $2014. The data does not show any strong outliers or skewness. a) Do we have some evidence to suggest that the average debt for people in this town is lower than the national average? Explain. b) Perform a hypothesis test at a significance level, alpha = 0.10.
Transcribed Image Text:Problem 1: According to the website lendingtree.com, the average debt is $5700 per household in America. The mayor of a small town is wondering if the average debt for people in his town is lower than the national average. He surveyed an SRS of 28 households and found that the average debt is $5437 with a standard deviation of $2014. The data does not show any strong outliers or skewness. a) Do we have some evidence to suggest that the average debt for people in this town is lower than the national average? Explain. b) Perform a hypothesis test at a significance level, alpha = 0.10.
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