Elementary Statistics: A Step-by-Step Approach with Formula Card 9th Edition

Published by McGraw-Hill Education
ISBN 10: 0078136334
ISBN 13: 978-0-07813-633-7

Chapter 8 - Hypothesis Testing - Review Exercises - Section 8-2 - Page 481: 5

Answer

Yes, see explanations.

Work Step by Step

a. State the hypotheses and identify the claim. $H_o: \mu=1229$ $H_a: \mu\ne1229$ (claim, two tailed test) b. Find the critical value(s). $\alpha=0.05, |z_c|=1.645$ c. Compute the test value. $z=\frac{1350-1229}{250/\sqrt {15}}=1.87$ d. Make the decision. Since $z\gt z_c$ we have enough evidence to reject the null hypothesis and support the claim. e. Summarize the results At $\alpha = 0.05$, we can conclude that the monthly rent outside San Francisco differs from that in the city.
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