Question 2 The city of Chicago decides to understand whether its citizens consume more alcohol during the summer period. As a baseline, the average person consumes 0.7L of alcoholic beverages in each week outside the summertime. In June of a given year, they collected a simple random survey of 28 people and estimated an average per capita consumption of 0.95L per week. Moreover, they estimated a sample variance of 0.85L² a) State the null and alternative hypothesis of the test. Compute the relevant test statistic. Show all steps. b) c) The researchers conducting this assessment decide to restrict the type 1 error to 10%. Find the critical value(s) for the test and justify your answer. d) Find the p-value for the test. Explain your answer. Draw a graph with a representation of the p-value with the relevant values in the test. e) Conclude the test.

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Question 2
The city of Chicago decides to understand whether its citizens consume more alcohol during the summer
period. As a baseline, the average person consumes 0.7L of alcoholic beverages in each week outside the
summertime. In June of a given year, they collected a simple random survey of 28 people and estimated an
average per capita consumption of 0.95L per week. Moreover, they estimated a sample variance of 0.85L²
a) State the null and alternative hypothesis of the test.
b) Compute the relevant test statistic. Show all steps.
c)
The researchers conducting this assessment decide to restrict the type 1 error to 10%. Find the
critical value(s) for the test and justify your answer.
d)
Find the p-value for the test. Explain your answer. Draw a graph with a representation of the p-value
with the relevant values in the test.
e) Conclude the test.
Transcribed Image Text:Question 2 The city of Chicago decides to understand whether its citizens consume more alcohol during the summer period. As a baseline, the average person consumes 0.7L of alcoholic beverages in each week outside the summertime. In June of a given year, they collected a simple random survey of 28 people and estimated an average per capita consumption of 0.95L per week. Moreover, they estimated a sample variance of 0.85L² a) State the null and alternative hypothesis of the test. b) Compute the relevant test statistic. Show all steps. c) The researchers conducting this assessment decide to restrict the type 1 error to 10%. Find the critical value(s) for the test and justify your answer. d) Find the p-value for the test. Explain your answer. Draw a graph with a representation of the p-value with the relevant values in the test. e) Conclude the test.
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