Hypothesis testing procedure for tire company

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Reference no: EM13112981

The manufacturer of Winston Tire Company claims its new tires last for an average 40,000 miles. An independent testing agency road-tested 20 tires to substantiate the claim made by the Winston Tire Company. The sample mean was 39,000 miles with a sample standard deviation of 5,000 miles. Using the .05 level of significance and the five-step hypothesis testing procedure, determine if there is reason to reject the claim made by Winston Tire Company and conclude that tires last for less than 40,000 miles.

Reference no: EM13112981

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