In: Statistics and Probability
Suppose the national average for fees paid on a parking ticket (not including any court involvement) is $25.25 with a standard deviation of $7. Your local police department feels that they charge less than this on average. Of the next 132 parking tickets awarded, the average fee due is $24.
Step 1 of 6: What type of hypothesis test should be performed here?
Step 2 of 6: State the null hypothesis.
Step 3 of 6: State the alternative hypothesis.
Step 4 of 6: State the p-value for your test.
Step 5 of 6: Choose the appropriate conclusion for this test with significance level 0.01.
Step 6 of 6: Interpret your conclusion