Perform a hypothesis test using level of significance

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Reference no: EM132351325

Mike believes that compact cars that have been driven for more than 100,000 miles can average more than 30 miles per gallon (MPG) with regular maintenance. To test this hypothesis, he takes a sample of 11 compact cars that have been driven for more than 100,000 miles. The sample average MPG is 38 miles, and the sample standard deviation is 11 MPG. Perform a hypothesis test using a 5% level of significance.

Please show work for:

(1) The null and alternate hypotheses (don't worry about using Greek symbols, state your hypotheses in words -- e.g. The null hypothesis is: the proportion of defects in this population is = 10%, while the alternate hypothesis is: the proportion of defects in this population is different from 10%)

(2) Appropriate distribution for this test (e.g. would you use the Z or Student's t distribution)?

(3) Calculated test statistic

(4) Critical test statistic

(5) Your decision

Reference no: EM132351325

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