The average gasoline price of one of the major oil companies has been $2.40 per gallon. Because of cost reduction measures, it is believed that there has been a significant reduction in the average price. In order to test this belief, we randomly selected a sample of 36 of the company's gas stations and determined that the average price for the stations in the sample was $2.31. Assume that the standard deviation of the population (?) is $0.17.(a)State the null and the alternative hypotheses (in dollars). (Enter != for ≠ as needed.)H0: Ha: (b)Compute the test statistic. (Round your answer to two decimal places.) (c)What is the p-value associated with the above sample results? (Round your answer to four decimal places.)p-value = (d)Using ? = 0.05, test the company's claim.Do not reject H0. There is sufficient evidence that the average price has been reduced.Reject H0. There is sufficient evidence that the average price has been reduced. Reject H0. There is insufficient evidence that the average price has been reduced.Do not reject H0. There is insufficient evidence that the average price has been reduced.

Answered: The average gasoline price of one of…

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

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The average gasoline price of one of the major oil companies has been $2.40 per gallon. Because of cost reduction measures, it is believed that there has been a significant reduction in the average price. In order to test this belief, we randomly selected a sample of 36 of the company's gas stations and determined that the average price for the stations in the sample was $2.31. Assume that the standard deviation of the population (?) is $0.17.

(a)

State the null and the alternative hypotheses (in dollars). (Enter != for ≠ as needed.)

H₀:

H_a:

(b)

Compute the test statistic. (Round your answer to two decimal places.)

(c)

What is the p-value associated with the above sample results? (Round your answer to four decimal places.)

p-value =

(d)

Using ? = 0.05, test the company's claim.

Do not reject H₀. There is sufficient evidence that the average price has been reduced.Reject H₀. There is sufficient evidence that the average price has been reduced. Reject H₀. There is insufficient evidence that the average price has been reduced.Do not reject H₀. There is insufficient evidence that the average price has been reduced.

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