Question
A major transportation company operates a fleet of trucks and it claims that the mean monthly maintenance cost per truck is different from $80. To
A major transportation company operates a fleet of trucks and it claims that the mean monthly maintenance cost per truck is different from $80. To test this hypothesis, a random sample of 20 trucks provided a sample mean maintenance cost of $74 with a sample standard deviation of $10. Assume that the monthly maintenance cost per truck is normally distributed.
a. At a 2% level of significance, is there sufficient evidence to support the company’s claim?
b. The manager is also interested in estimating the percentage of imported trucks in the current fleet. A sample of 40 trucks revealed 5 were imported. At a 5% level of significance, is there evidence that the true proportion of imported trucks exceeds 10%?
c. To learn the work satisfaction of her drivers, the manager also wishes to estimate proportion of truck drivers satisfied with their work within 10% of the true value 9 times out of 10. Determine the number of truck drivers that would have to be sampled.
Step by Step Solution
3.49 Rating (156 Votes )
There are 3 Steps involved in it
Step: 1
Ho M80 H u 7 80 20 474 o 5 NOw for normally dis ...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started