An insurance executive asserts that the mean amount paid by his firm for personal injury claims resulting from auto accidents is $18,500. An actuary wants to check the accuracy of this claim and so samples randomly 36 cases involving personal injury. The sample mean is $19,415.Assuiming that = $2,600, test the executives belief with =.01.

A) State the null and alternative hypotheses

B)State the test used and why you used it.

C)State your conclusion mathematically and state the reason why.