Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

You conduct a study in a large southern town to determine whether the average amount spent on food per four-person family in the town is

You conduct a study in a large southern town to determine whether the average amount spent on food per four-person family in the town is lower than the national average per four-person family.A random sample of the weekly grocery bills of 50 four-person families reveals a mean of $145.88 and a standard deviation of $17.2988616.Usingexactlythese numbers and an alpha level of .05, and producing accurate calculations:

  1. What is the null hypothesis (in words)?
  2. What is the alternative hypothesis (in words)?
  3. What statistical test are you using to test this hypothesis?
  4. Does this problem call for adirectionaltest or anon-directionaltest?Why?
  5. What is the value of the standard error?
  6. What is the value of tstat?
  7. What is the number of degrees of freedom for this statistical test?(Provide a numeric value)
  8. What is the value of tcritagainst which you will compare tstatfor this hypothesis?
  9. Based on these data, can we be 95% confident that the average weekly grocery bill of the population of four-person families in the town is less than the national average of four-person families?(Yes or No).Justify your answer.
  10. Using theexactformula (NOT the approximate formula) provided in class, what are the lower and upper bounds of a 95% confidence interval for the average amount spent on food per four-person family in the town? (Provide values accurate to the nearest dollar.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Ordinary Differential Equations

Authors: William A Adkins, Mark G Davidson

1st Edition

1461436184, 9781461436188

More Books

Students also viewed these Mathematics questions