I.In a large-scale, cost of living survey undertaken last year in a city, weekly grocery expenses for families with one or two children were found to have an average of $148. To investigate the current situation, a random sample of 100 different income leveled families with one or two children were asked their last week's grocery bills. The sample average grocery expenses per week was $150 with a standard deviation of $22. Also, the sampling distribution was not skewed. Is there any evidence that the weekly grocery expenses for families with one or two children has changed since last year?

Answer the following questions based on above scenario:

1.What is the possible population of interest?

2.Was the sample collected randomly? What does that imply in terms of the conclusions we draw?

3.What is the variable being collected here? Is it categorical or quantitative?

4.In words, what is the parameter of interest? What symbol do we use for this parameter to represent in short? [ You may use "insert" then "equation" to write symbols in word file]

5.In words and symbols, what are the researchers' hypotheses?

6.What is the value of the statistic? What symbol do we use to represent the statistic?

7.Is the validity condition for the Theory Based Approach met for this situation? Why or why not?

8.Using the Theory Based Approach, what is the standard error? (Show your work).

9.Using the result from problem 8, what is the theory-based standardized statistic? (Show your work). What does this standardized statistic mean, interpret it?

10.Would you reject or fail to reject the null hypothesis based on the theory-based standardized statistic? Why?

11.What can you conclude, in context, based on your decision in problem 10?

12.Go to www.rossmanchance.com/ISIapplets.html and use the Theory-Based Inference applet for one mean. Report the p-value you get by doing test of hypothesis using alpha = 0.05for the study. Also, interpret the p-value.

13.Based on the p-value you found in problem 12, do you reach the same decision and conclusion as in problem 10 and 11?

14.What type of error could you have made in this scenario? Explain the error in context.