In the United States, the average car is driven about 12,000 miles each year. The owner of
Question:
In the United States, the average car is driven about 12,000 miles each year. The owner of a large rental car company suspects that for his fleet, the mean distance is greater than 12,000 miles each year. He selects a random sample of n = 225 cars from his fleet and finds that the mean annual mileage for this sample is x̄ = 12,375 miles. A calculation shows that if you assume the fleet mean is the national mean of 12,000 miles, then the probability of selecting a 225-car sample with a mean annual mileage of at least 12,375 miles is 0.01. Based on these data, describe the process of conducting a hypothesis test and drawing a conclusion.
Step by Step Answer:
Statistical Reasoning For Everyday Life
ISBN: 9780321904645
4th International Edition
Authors: Jeffrey Bennett, William L. Briggs, Mario F. Triola