Hypothesis Testing

diane Domore

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Nov 13, 2005
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Plzzzzz. Help with this problem.

Hypothesis Testing

3. The director of admissions at the University of Maryland, University College is
concerned about the high cost of textbooks for the students each semester.
A sample of 20 students enrolled in the university indicates that
X (bar) =$315.4 and s = $43.20.

a. Using the 0.10 level of significance, is there evidence that the population mean
is above $300?

b. What is your answer in (a) if s = $75 and the 0.05 level of significance is used?

c. What is your answer in (a) if X (bar) = $305.11 and s = $43.20?

d. Based on the information in part (a), what decision should the director make

about the books used for the courses if the goal is to keep the cost below
$300?
 
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