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Question: Marketing and Consumer Behavior The manager of a Piggly Wiggly grocery store claims a membership card will save consumers (through automatic discounts and extra coupons) at least $15.00 per week on average. To check this claim, a random sample of 11 shoppers with membership cards was obtained and their weekly grocery bills were inspected. The sample mean savings was x¯ = $14.35 and σ = $3.75.
Assume the distribution of savings is normal.
a. Is there any evidence to refute the manager's claim? Use a 5 0.025.
b. If you rejected the null hypothesis, how can you explain this conclusion when $14.35 is so close to $15.00? If you did not reject the null hypothesis, how can you explain this conclusion when $14.35 is certainly less than $15.00? c. Find bounds on the p value associated with this hypothesis test.
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