Answer
Let σ = Standard Deviation in number of shipping errors per million shipments
As per claim σ < 3
Null Hypothesis: $H_{o} = σ \geq 3$
Alternative Hypothesis: $H_{a} = σ \lt 3$ (represents the claim)
Work Step by Step
As given in answer
Elementary Statistics: Picturing the World (6th Edition)
by Larson, Ron; Farber, Betsy
Published by
Pearson
ISBN 10:
0321911210
ISBN 13:
978-0-32191-121-6
Chapter 7 - Hypothesis Testing with One Sample - Section 7.1 Introduction to Hypothesis Testing - Exercises - Page 360: 26
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