Question

Hypothesis Testing – Indicate five steps in your answers (Null/alternate hypotheses, test-statistic, rejection area, decision for rejection, conclusion)

There are many grocery stores in New Jersey. The average number of customers checking out in each cashier register per ten minutes in all the grocery stores in New Jersey was 3.14 a year ago. Now, a marketer wishes to see if this number of customer is different now at the 5% of significance level. He visited 75 grocery stores and found that the average number of customers checking out in each cashier register of these stores was 2.98 with population standard deviation level of 0.82 customer. Are these data suggesting an evidence to support the marketer’s belief?

Answer 1

Solution :-

Given that ,

= 3.14  

= 2.98

= 0.82

n = 75

The null and alternative hypothesis is ,

H0 :   = 3.14

Ha :    3.14

This is the two tailed test .

Test statistic = z

= ( - ) / / n

= ( 2.98 - 3.14 ) / 0.82 / 75

= -1.69

The test statistic = -1.69

P - value = 2 * P ( Z < -1.69 )

= 2 * 0.0455

= 0.0910

P-value = 0.0910

= 0.05  

0.0910 > 0.05

P-value >  

Fail to reject the null hypothesis .

There is not sufficient evidence to the test claim .