In: Statistics and Probability
The U.S. Department of Agriculture claims that the mean consumption of bottled water by a person in the United States is 28.5 gallons per year. A random sample of 100 people in the United States has a mean bottled water consumption of 27.8 gallons per year with a standard deviation of 4.1 gallons. At α = 0.08, can you reject the claim? Please show all work!!
Solution :
This is the two tailed test .
The null and alternative hypothesis is ,
H0 : = 28.5
Ha : 28.5
= 27.8
= 28.5
= 4.1
n = 100
Test statistic = z
= ( - ) / / n
= (27.8 - 28.5) / 4.1 / 100
= -1.71
Test statistic = -1.71
P(z < -1.71) = 0.0436
P-value = 2 * 0.0436 = 0.0872
= 0.08
P-value >
Fail to reject the null hypothesis .
Fail to reject the claim .