ABC Securities Firm paid out record year-end bonuses of $150,000 per employee for 2005. Suppose we would like to take a sample of employees at the ABC Securities firm to see whether the mean year-end bonus is different from the reported mean of $150,000 for the population. Use the Hypothesis Testing template, work out the complete solution with all the steps with explanations in Excel with Excel functions and formulas ONLY.

1. State the null and alternative hypotheses you would use to test whether the year-end bonuses paid by ABC Securities were different from the population mean.
2. Suppose a sample of 40 employees showed a sample mean year-end bonus of $130,000. Assume a population standard deviation of $30,000 and compute the p- value.
3. With a .05 as the level of significance, what is your conclusion?
4. Repeat the preceding hypothesis test using the critical value approach.