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In: Statistics and Probability

Nationally, about 11% of the total U.S. wheat crop is destroyed each year by hail.† An...

Nationally, about 11% of the total U.S. wheat crop is destroyed each year by hail.† An insurance company is studying wheat hail damage claims in a county in Colorado. A random sample of 16 claims in the county reported the percentage of their wheat lost to hail.

14 8 7 10 14 18 13 9
7 10 26 20 15 10 14 7

The sample mean is x = 12.6%. Let x be a random variable that represents the percentage of wheat crop in that county lost to hail. Assume that x has a normal distribution and σ = 5.0%. Do these data indicate that the percentage of wheat crop lost to hail in that county is different (either way) from the national mean of 11%? Use α = 0.01.

b). Compute the z value of the sample test statistic. (Round your answer to two decimal places.) ___________?


(c) Find (or estimate) the P-value. (Round your answer to four decimal places.) _________?

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