A manufacturer wants to increase the absorption capacity of a sponge. Based on past data, the average sponge could absorb 3.5 ounces. After the redesign, the absorption amounts of a sample of sponges were (in ounces): 4.1, 3.7, 3.3, 3.5, 3.8, 3.9, 3.6, 3.8, 4.0, and 3.9.

A. What is the decision rule at the 0.01 level of significance to test if the new design increased the absorption amount of the sponge?Explain your answer.

a)Do not reject null hypothesis if computed t is less than 2.580

b)Do not reject null hypothesis if computed t is less than 2.821

c)Reject null hypothesis if computed z is 1.96 or larger

d)Reject null hypothesis if computed t is less than 2.764

B. For 0.01 level of significance,what is the cut-off weight in ounces?

C. At a level of significance of 1%, would you claim that the new design is better than the old one? Explain your answer.

a)No because we don't reject the Null Hypothesis at Alpha = .01.

b)Yes because we reject the Null hypothesis at Type 1 error = 1%.

c)Yes because the cut-off is more than the sample mean.