6.1 The South African Department of Health is concerned that the average percentage mark-up on a particular vitamin product during the dawn of covid-19 pandemic is 51% or more. To test their concern, they sampled 86 pharmacies that sell the product, and found that the mean percentage mark-up was 48.1%. Assume that the population standard deviation of the percentage mark- up is 14.7%.

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6.1.1 What is the appropriate test statistic for this management scenario? Why?

6.1.2 Formulate the null and alternative hypothesis for this test situation and conduct an appropriate statistical test at the 4% level of significance to determine whether the South African Department of Health's concern is justified. What conclusion can be drawn from the findings?