In: Statistics and Probability
A bottle of soft drink states that it contains 500 ml. A consumer group is angry and claims that the bottles are actually under-filled. The group takes a random sample of 40 bottles and finds a mean of 492 ml, with a sample standard deviation of 10 ml. Is their claim valid using the 0.01 level of significance? Use the five-step procedure to answer the question and include the p-value.
Solution :
Given that,
Population mean = = 500
Sample mean = = 492
Sample standard deviation = s = 10
Sample size = n = 40
Level of significance = = 0.01
This is a two tailed test.
The null and alternative hypothesis is,
Ho: 500
Ha: 500
The test statistics,
t = ( - )/ (s/)
= ( 492 - 500 ) / ( 10 / 40)
= -5.06
Critical value of the significance level is α = 0.01, and the critical value for a two-tailed test is
= 2.708
Since it is observed that |t| = 5.08 > = 2.708, it is then concluded that the null hypothesis is rejected.
p-value :
df = n - 1 = 39
p-value = 0
The p-value is p =0 < 0.01, it is concluded that the null hypothesis is rejected.
Conclusion:
It is concluded that the null hypothesis Ho is rejected. Therefore, there is enough evidence to claim that the population mean
μ is different than 500, at the 0.01 significance level.