Question

We are interested in looking at ticket prices of MLB games. It is known from past information that the average price is $26.30, with a population standard deviation of $2.32. Suppose we take a sample of the last 5 years and find that the average ticket price is $29.94. We are interested in seeing if the average price of tickets has significantly increased. Use alpha=.10. Find the 90% confidence interval for ticket price.

	a.	(28.6103, 31.2697)
	b.	(28.2334, 31.6466)
	c.	(27.9064, 31.9736)
	d.	(27.7282, 32.1518)

We are interested in looking at ticket prices of MLB games. It is known from past information that the average price is $26.30, with a population standard deviation of $2.32. Suppose we take a sample of the last 5 years and find that the average ticket price is $29.94. We are interested in seeing if the average price of tickets has significantly increased. Use alpha=.10. The null and alternative hypotheses are:

	a.	Null: The population mean is less than or equal to 26.30 Alternative: The population mean is greater than 26.30
	b.	Null: The population mean is greater than or equal to 26.30 Alternative: The population mean is less than 26.30
	c.	Null: The sample mean is greater than or equal to 29.94 Alternative: The sample mean is less than 29.94
	d.	Null: The population mean is equal to 26.30 Alternative: The population mean does not equal 26.30

We are interested in looking at ticket prices of MLB games. It is known from past information that the average price is $26.30, with a population standard deviation of $2.32. Suppose we take a sample of the last 5 years and find that the average ticket price is $29.94. We are interested in seeing if the average price of tickets has significantly increased. Use alpha=.10. What is the critical value?

	a.	z=1.2816
	b.	z=-1.2816
	c.	t=1.5332
	d.	z=1.6449

We are interested in looking at ticket prices of MLB games. It is known from past information that the average price is $26.30, with a population standard deviation of $2.32. Suppose we take a sample of the last 5 years and find that the average ticket price is $29.94. We are interested in seeing if the average price of tickets has significantly increased. Use alpha=.10. What is the test statistic?

	a.	t=3.51
	b.	t=-3.51
	c.	z=3.51
	d.	z=-3.51

We are interested in looking at ticket prices of MLB games. It is known from past information that the average price is $26.30, with a population standard deviation of $2.32. Suppose we take a sample of the last 5 years and find that the average ticket price is $29.94. We are interested in seeing if the average price of tickets has significantly increased. Use alpha=.10. What is the p-value?

	a.	0.9999
	b.	0.0001
	c.	0.01<p-value<0.025
	d.	0.0006

Answer 1

Here using ti-83 calculator.

90% confidence interval for tickets price is 28.2334 and 31.6466

Answer :- option "b" is correct.

Test Hypothesis :-

a.	Null: The population mean is less than or equal to 26.30 Alternative: The population mean is greater than 26.30

Critical value :-

Alpha =0.10 then z= 1.2816

Test statistic :-

Z= 3.51

P-value :-

P=0.0002

Nearest to 0.0001 so, answer are option "b".

Conclusion :-

P-value is less than alpha=0.10 then conclude that reject the null hypothesis.