1) A used car dealer says that the mean price of a three-year-old sports utility vehicle is

$24,000. You suspect this claim is incorrect and find that a random sample of

25 similar vehicles has a mean price of $24,825 and a standard deviation of $1962. Is there enough evidence to reject the claim at =0.05?

A) Write the null and alternative hypotheses.

B) What are the critical values? the rejection region?

C) Find the standardized test statistic t.

D) Decide whether to reject or fail to reject the null hypothesis.

E) Interpret the decision in the context of the original claim:

A. At the 5% level of significance, there is sufficient evidence to reject the claim that the mean price is $24,000.

B.At the 5% level of significance, there isnot sufficient evidence to reject the claim that the mean price is not $24,000.

C. At the 5%level of significance, there isnot sufficient evidence to reject the claim that the mean price is $24,000.

D. At the 5% level of significance, there is sufficient evidence to reject the claim that the mean price is not $24,000.

2) A credit card company claims that the mean credit card debt for individuals is greater than $4,700. You want to test this claim. You find that a random sample of 33 cardholders has a mean credit card balance of $4,924 and a standard deviation of $550. At =0.10 can you support the claim?

A) Write the null and alternative hypotheses

B) What are the critical values? the rejection region?

C) Find the standardized test statistic t.

D) Decide whether to reject or fail to reject the null hypothesis.

E) Interpret the decision in the context of the original claim

3) A fast food restaurant estimates that the mean sodium content in one of its breakfast sandwiches is no more than

919 milligrams. A random sample of 49 breakfast sandwiches has a mean sodium content of 912 milligrams. Assume the population standard deviation is 25 milligrams. At =0.10, do you have enough evidence to reject the restaurant's claim?

A) Write the null and alternative hypothese B) What are the critical values? the rejection region?

C) Find the standardized test statistic t.

D) Decide whether to reject or fail to reject the null hypothesis.