Problem #3: An auto manufacturer makes a type of car that is known to have an average mileage of 27.7 miles per gallon on the highway. They want to put a smaller engine in this type of car, and they want to see if this increases the average mileage. They test the new engine on a random sample of 8 cars. The mileages for this sample of cars are shown below: 27.5, 30.3, 29.8, 31.4, 31.1, 28.2, 29.8, 29.6 The sample mean and sample standard deviation are calculated to be 29.7 mpg and 1.33 mpg, respectively. Mileages are known to follow a normal distribution with variance 1.4 mpg. We would like to conduct a hypothesis test at the 5% level of significance. (a) What is the appropriate rejection region? (b) What is the value of the test statistic? (A) {z < -1.96}) (B) {z < -1.645) (C) (z 1.645) (D) {z > 1.96} (E) {z > 1.645} (F) {z > 1.96} Problem #3(a): Select ↑

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Problem #3: An auto manufacturer makes a type of car that is known to have an average mileage of 27.7 miles per gallon on
the highway. They want to put a smaller engine in this type of car, and they want to see if this increases the
average mileage. They test the new engine on a random sample of 8 cars. The mileages for this sample of cars are
shown below:
27.5, 30.3, 29.8, 31.4, 31.1, 28.2, 29.8, 29.6
The sample mean and sample standard deviation are calculated to be 29.7 mpg and 1.33 mpg, respectively.
Mileages are known to follow a normal distribution with variance 1.4 mpg. We would like to conduct a
hypothesis test at the 5% level of significance.
Problem #3(a):
Problem #3(b):
(a) What is the appropriate rejection region?
(b) What is the value of the test statistic?
(A) {z < -1.96} (B) {z < -1.645) (C) {z 1.645} (D) {z 1.96} (E) {z 1.645) (F) {z > 1.96}
Select Part (a) choices.
answer correct to 2 decimals
Transcribed Image Text:Problem #3: An auto manufacturer makes a type of car that is known to have an average mileage of 27.7 miles per gallon on the highway. They want to put a smaller engine in this type of car, and they want to see if this increases the average mileage. They test the new engine on a random sample of 8 cars. The mileages for this sample of cars are shown below: 27.5, 30.3, 29.8, 31.4, 31.1, 28.2, 29.8, 29.6 The sample mean and sample standard deviation are calculated to be 29.7 mpg and 1.33 mpg, respectively. Mileages are known to follow a normal distribution with variance 1.4 mpg. We would like to conduct a hypothesis test at the 5% level of significance. Problem #3(a): Problem #3(b): (a) What is the appropriate rejection region? (b) What is the value of the test statistic? (A) {z < -1.96} (B) {z < -1.645) (C) {z 1.645} (D) {z 1.96} (E) {z 1.645) (F) {z > 1.96} Select Part (a) choices. answer correct to 2 decimals
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