Question
The average McDonald's restaurant generates $2.9 million in sales each year with a standard deviation of 0.6. Meredith wants to know if the average sales
The average McDonald's restaurant generates $2.9 million in sales each year with a standard deviation of 0.6. Meredith wants to know if the average sales generated by McDonald's restaurants in Illinois is different than the worldwide average. She surveys 20 restaurants in Illinois and finds the following data (in millions of dollars): 3.7, 4.5, 3.8, 3.7, 3.8, 2.7, 2, 3.1, 3, 2.4, 3.4, 3.7, 2.7, 2.6, 1.9, 3.3, 4, 3.8, 3.6, 2.6 Perform a hypothesis test using a 4% level of significance. Step 1: State the null and alternative hypotheses. H0:H0: ? p Correct ? < > = Correct Correct Ha:Ha: ? p Correct ? < > = Correct Correct (So we will be performing a Select an answer left-tailed right-tailed two-tailed Correct test.) Step 2: Assuming the null hypothesis is true, determine the features of the distribution of point estimates using the Central Limit Theorem. By the Central Limit Theorem, we know that the point estimates are Select an answer normally distributed t-distributed Correct with distribution mean Correct and distribution standard deviation Correct. Step 3: Find the pp-value of the point estimate. P(P(? p' x ? )=P()=P(? z t ? )=)= pp-value== Step 4: Make a Conclusion About the null hypothesis. Since the pp-value== ? < ==, we Select an answer reject do not reject the null hypothesis.
- We cannot conclude that the mean sales of McDonald's restaurants in Illinois differ from average McDonald's sales worldwide.
- We conclude that the mean sales of McDonald's restaurants in Illinois differ from average McDonald's sales worldwide.
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