STP 226, Spring 2021 Final Exam Study Guide For problems 25 - 36, perform and tests or confidence intervals assuming that any necessary conditions to run the test are satisfied. 21. A local escape room business claims that their hardest room has a mere 11% success rate for its patrons escaping the room in under an hour. Suppose the last 50 participating groups were surveyed and it was found that 7 of these groups had successfully escaped. With a 5% significance level, test the claim that more than 11% of groups are able to escape their hardest room. a. State the null and alternative hypotheses. b. Report the value of the test statistic and the p-value for this test. c. Decide whether to reject Ho or to not reject Ho. d. State a conclusion for this test. 22. A team of researchers wants to study the ability to predict the cost in repairs to a car after being involved in a traffic accident from the number of miles on the car's odometer at the time of the accident. The data below depicts 5 sample points from the study. Cost of Repairs (in hundreds) Miles Driven (in thousands) 51 54 23.1 37 143.8 128 222 .8 210 116.3 97 a. Find and briefly interpret by . b. Find and briefly interpret bo. Is the meaning of this value practical? c. Construct a linear regression equation to predict the cost in repairs given the number of miles driven. d. Find the expected cost in repairs for a car in an accident having driven 300,000 miles according to the regression equation in part a. 22" 23. [Extra Credit Material] Continuing from problem >, test the claim with a 5% level of significance whether the regression equation is significant with the following parts: a. State the hypotheses Ho and Hi- b. Calculate S,, the standard error of by. c. Evaluate the appropriate test statistic. d. Find the critical value and the rejection region for the test. e. What is the decision of the test? f. Briefly interpret the decision of the test